Question 10 Which of the following is not a significant date with respect to dividends? a.The declaration date b.The record date c.The incorporation date D) the payment date

Question 11 On the dividend record date

a. an entry may be required if it is a stock dividend. b.dividends Payable is debited. c.a dividend becomes a current obligation. d.no entry is required.

Question 12 Dividends Payable is classified as a

A.contra stockholders' equity account to Retained Earnings. B.stockholders' equity account. C.current liability. D.long-term liability.

Question 13 Outstanding stock of the Marigold Corporation included 20600 shares of $5 par common stock and 5100 shares of 7%, $10 par noncumulative preferred stock. In 2019, Marigold declared and paid dividends of $1800. In 2020, Marigold declared and paid dividends of $5700. How much of the 2020 dividend was distributed to preferred shareholders?

A.$1800 B.$3900 C.$3570 D.None of these answer choices are correct

Question 14 A small stock dividend is defined as

A.less than 30% but greater than 25% of the corporation's issued stock. B.more than 30% of the corporation's issued stock. C.between 50% and 100% of the corporation's issued stock. D.less than 2025% of the corporation's issued stock.

Question 15 The per share amount normally assigned by the board of directors to a large stock dividend is

A.zero. B.the market value of the stock on the date of declaration. C.the average price paid by stockholders on outstanding shares. D.the par or stated value of the stock.

Question 16 The per share amount normally assigned by the board of directors to a small stock dividend is

A.the average price paid by stockholders on outstanding shares. B.the par or stated value of the stock. C.zero. D.the market value of the stock on the date of declaration.

Question 18 A stockholder who receives a stock dividend would

A.own more shares of stock. B.expect retained earnings to increase. C.expect the par value of the stock to change. D.expect the market price per share to increase.

Question 19 Common Stock Dividends Distributable is classified as a(n)

A.asset account. B.liability account. C.expense account. D.stockholders' equity account.

Question 20 The effect of a stock dividend is to

A.decrease total assets and total liabilities. B.increase the book value per share of common stock. C.decrease total assets and stockholders' equity. D.change the composition of stockholders' equity.

Question 21 If a corporation declares a 10% stock dividend on its common stock, the account to be debited on the date of declaration is

A.Common Stock. B.Stock Dividends. C.Paid-in Capital in Excess of Par. D.Common Stock Dividends Distributable.

Question 22 Sunland Co. had retained earnings of $19600 on the balance sheet but disclosed in the footnotes that $3400 of retained earnings was restricted for building expansion and $900 was restricted for bond repayments. Cash of $2200 had been set aside for the plant expansion. How much of retained earnings is available for dividends?

A.$16200 B.$19600 C.$13100 D.$15300

Question 23 Bento, Inc. had 500,000 shares of common stock outstanding before a stock split occurred, and 1,500,000 shares outstanding after the stock split. The stock split was

A.1-for-5. B.2-for-5. C.5-for-1. D.3-for-1.