Suppose you own 80 shares of IBM common stock when the company declares a 4% stock dividend.

Question:

Suppose you own 80 shares of IBM when the company declares a 4% stock dividend. What will you receive as a result?

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on...