29. A small stock dividend:

A. does not affect the capital in excess of par value account.

B. increases the common stock account by the market price of each share issued.

C. affects the par value per share but not the equity account balances.

D. reduces retained earnings by the market price of each share issued.

E. reduces cash by the total market value of the issued shares.

32.

An investor is more likely to prefer a high dividend payout if that investor:

A. pays taxes on dividends but not on capital gains

B. is a corporation

C. pays a higher tax rate than the dividend payer

D. does not require additional cash flows

E. has a high marginal tax rate on dividends