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Basic Question 5 of 12
A stock dividend is recorded as: A. A transfer from retained earnings to equity capital.
B. A reduction in the par value of each share.
C. A transfer from capital surplus to retained earnings.
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I am happy to say that I passed! Your study notes certainly helped prepare me for what was the most difficult exam I had ever taken.
Andrea Schildbach
Learning Outcome Statements
describe regular cash dividends, extra dividends, stock dividends, stock splits, reverse stock splits, and share repurchases
describe dividend payment chronology
CFA® 2024 Level I Curriculum, Volume 3, Module 8.