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How Would Total Shareholders' Equity Be Affected by the Declaration

Question 49

Short Answer

How would total shareholders' equity be affected by the declaration of each of the following?
                                                                     Stock dividend                               Stock split  A)  no effect                               increase  B) decrease                                decrease  C)  decrease                                no effect  D)  no effect                                no effect\begin{array}{l}~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~\text { }\\~~~~~ \text {\(\underline{\text{ Stock dividend }}\)~~~~~ ~~~~~~~~~~~~~~~~~~~~~~ \(\underline{\text{ Stock split}}\) }\\\begin{array} { l r l } \text { A) } & \text { no effect} & ~~~~~~~~~~~ ~~~~~~ ~~~~~~ ~~~~~~~\text { increase } \\\text { B) } & \text {decrease } &~~~~~~~~~~~ ~~~~~~ ~~~~~~ ~~~~~~~ \text { decrease } \\\text { C) } & \text { decrease } &~~~~~~~~~~~ ~~~~~~ ~~~~~~ ~~~~~~~ \text { no effect } \\\text { D) } & \text { no effect } & ~~~~~~~~~~~~ ~~~~~~ ~~~~~~ ~~~~~~\text { no effect}\end{array}\end{array}

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