Which of the following is most likely a correct implication of stock dividends to the shareholders?

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10% stock dividend most likely to:
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Ahmed kandil
14-March-2015

A. Generally stock dividends are taxable.

B. Stock dividends positively affect the market value of shareholders’ wealth.

C. When stock dividends are paid shareholders’ cost per share helddecreases.

Project Finance Accounting Cash Flow Forecasting Financial Systems Feasibility Studies

Question ajoutée par Shahbaz Hayder , Group Head of Finance , Sharif Group of Companies
Date de publication: 2015/07/01

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par Shazia Anees , Assistant Manager Finance , Arham Trading Company

option C=====================

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lakshminarasimham mallareddi

par lakshminarasimham mallareddi , Manager Finance & Accounts , M/s. Vandana Global Limited, Raipur, Chhattisgarh

Correct answer is B. Stock dividends positively affect the market value of shareholders' wealth.

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par Zehab Osman , Accountant , Aldar Consultancy Co.

C-------------------------------------------------------

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