Question 16 Match the following terms with the appropriate definitions Nonparticipating preferred stock [Choose ] Stock dividend [Choose ] Employee stock option plan [Choose ] Legal capital [Choose ] > [ Choose That portion of corporate capital required by statute to be retained in the business for protection of creditors Stock that is limited to a specified dividend rate per year. A dividend that decreases retained earnings and increases contributed capital A form of compensation that creates additional paid in capital on the balance sheet