INTERVIEW QUESTIONS FINANCIAL MANAGEMENT DIVIDEND DECISION DETAILS

Question: What is stock dividend?

Answer: Stock dividend is the dividend which is paid to the shareholders in kind. When stock dividends are paid, a portion of the surplus is transferred to the capital account and shareholders are issued additional share certificates. This dividend is declared to only equity shareholders.

Stock dividend is the dividend which is paid to the shareholders in kind. When stock dividends are paid, a portion of the surplus is transferred to the capital account and shareholders are issued additional share certificates. This dividend is declared to only equity shareholders. Source: CoolInterview.com

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