Identify the effect the declaration and distribution of a stock dividend has on the par value per share.Par value per share

Question

Quizplus · Accepted Answer

The declaration and distribution of a stock dividend does not have any effect on the par value per share. The par value per share is a fixed amount assigned by the company at the time of incorporation and does not change with the issuance of stock dividends.

Identify the Effect the Declaration and Distribution of a Stock