Indicate whether each of the following statements is true or false and justify your response. Ignore the effects of income taxes.

a Cash dividends reduce the book value per share of capital stock.

b A stock dividend does not affect the Retained Earnings account.

c Investing 50 percent of net income in government bonds has no effect on the amount legally available for dividends.

d Stock dividends reduce the book value per share of capital stock.

e The declaration of a cash dividend does not reduce the amount of the stockholders' equity.

f The distribution of a stock dividend tends to reduce the market value per share of capital stock.

g A stock split generally does not affect the Retained Earnings account.

h A stock-dividend declaration is usually accompanied by a reduction in par or stated value per share.