Question Details

most common types in practice 




1.	Dividends are predominantly paid in
a.	earnings.
b.	property.
c.	cash.
d.	stock.


	2.	If a stockholder receives a dividend that reduces retained earnings by the fair market value of the stock, the stockholder has received a
a.	large stock dividend.
b.	cash dividend.
c.	contingent dividend.
d.	small stock dividend.



	3.	Of the various dividends types, the two most common types in practice are
a.	cash and large stock.
b.	cash and property.
c.	cash and small stock.
d.	property and small stock.


 
	4.	Regular dividends are declared out of
a.	Paid-in Capital in Excess of Par.
b.	Treasury Stock.
c.	Common Stock.
d.	Retained Earnings.



	5.	A corporation is not committed to a legal obligation when it declares
a.	a cash dividend.
b.	either a cash dividend or a stock dividend.
c.	a stock dividend.
d.	a distribution date.






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