Mf4. All of the following are advantages of a stock dividend distribution to shareholders on account as of ex-dividend date except? a. preserves cash balances of the firm to be used for other investment opportunities b. decrease in share price may attract new investors to raise additional capital c. bonus share distribution dilutes the share price d. not treated as a taxable event for investors and shareholders until sold e. none of the above
Mf4. All of the following are advantages of a stock dividend distribution to shareholders on account as of ex-dividend date except? a. preserves cash balances of the firm to be used for other investment opportunities b. decrease in share price may attract new investors to raise additional capital c. bonus share distribution dilutes the share price d. not treated as a taxable event for investors and shareholders until sold e. none of the above
Chapter14: Corporation Accounting
Section: Chapter Questions
Problem 14MC: Which of the following is true of a stock dividend? A. It is a liability. B. The decision to issue a...
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Mf4.
All of the following are advantages of a stock dividend distribution to shareholders on account as of ex-dividend date except?
a. preserves cash balances of the firm to be used for other investment opportunities
b. decrease in share price may attract new investors to raise additional capital
c. bonus share distribution dilutes the share price
d. not treated as a taxable event for investors and shareholders until sold
e. none of the above
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