Stock dividends increase the wealth of stockholders who receive additional shares. l>
Correct Answer:
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Q18: Dividends reinvested are not subject to federal
Q19: A 5% stock dividend reduces a firm's
Q20: The owners of a corporation elect the
Q21: Dividend reinvestment plans are a convenient means
Q22: If a stock's price is $90 and
Q24: A company may pay
1) a regular quarterly
Q25: Which of the following is equity?
1) investments
2)
Q26: Dividend reinvestment plans permit stockholders to defer
Q27: A reserve split should raise the per
Q28: A stock split
A) increases equity
B) generates capital
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