Total assets,total liabilities,and total stockholders' equity do not change as a result of a stock dividend.

Question

Quizplus · Accepted Answer

A stock dividend is essentially a redistribution of equity among the existing shareholders, meaning that no new resources are being added or subtracted from the company's balance sheet. Therefore, the total assets, total liabilities, and total stockholders' equity remain unchanged after a stock dividend.

Total Assets,total Liabilities,and Total Stockholders' Equity Do Not Change as a Result