Stock dividends and stock splits must be measured at the fair value of the company's shares at the date of declaration.

Name: Stock dividends and stock splits must be measured at the fair value of the company's shares at the date of declaration.
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Question

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Stock dividends and stock splits do not require measurement at the fair value of the company's shares at the date of declaration. They are instead distributed based on the number of shares held and do not involve the valuation of shares at fair value.

Stock Dividends and Stock Splits Must Be Measured at the Fair