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Which of the following is true of a stock dividend? a. It is a liability on the balance sheet. b. The decision to declare a

Which of the following is true of a stock dividend?

a. It is a liability on the balance sheet.

b. The decision to declare a stock dividend resides with the shareholders.

c. Transfers a portion of equity from retained earnings to a cash reserve account.

d. Does not affect total equity, but transfer amounts between the components of equity.

e. Reduces a corporation's assets and stockholders' equity.

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