How would total stockholders' equity be affected by the declaration of each of the following? Stock Stock
Dividend Split

Question

Quizplus · Accepted Answer

The declaration of a stock dividend redistributes retained earnings to common stock but does not affect the total stockholders' equity. A stock split merely changes the number of shares outstanding and the par value per share but does not impact the total stockholders' equity.

How Would Total Stockholders' Equity Be Affected by the Declaration