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Which of the Following Would Result from Payment of the Stock

Question 2

Multiple Choice

Which of the following would result from payment of the stock dividend?


A) Total equity would remain at $50,000,000.
B) Total equity would increase to $57,500,000.
C) Total equity would decrease to $43,478,261.
D) The effect on the equity account would depend on the market's reaction to the dividend.

Correct Answer:

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