As a minimum, how large in relation to total outstanding shares may a stock distribution be before it should be accounted for as a large stock dividend instead of as a small stock dividend?
A) no less than 2% to 5%
B) no less than 10% to 15%
C) no less than 20% to 25%
D) no less than 45% to 50%

Question

Quizplus · Accepted Answer

A stock distribution must be at least 20% to 25% of the total outstanding shares to be considered a large stock dividend. Below this threshold, it is typically treated as a small stock dividend.

As a Minimum, How Large in Relation to Total Outstanding