1. If Orange were to issue a stock dividend, generally, a. How would this affect the corporation’s assets and/or liabilities? b.How would this affect the individual shareholders’ proportionate interests? 

2. Regarding “small” and “large” stock dividends, generally, a.What is the difference between these? b.How are they accounted for differently? 

3. What is the difference between a stock dividend and a stock split? 

4. If Orange were to issue a 3% stock dividend when the common stock is trading for $5 per share, how would this be specifically accounted for?

Answer rating: 100% (QA)

1 If Orange were to issue a stock dividend it would increase the corporations assets and liabilities by the amount of the dividend The shareholders in... View the full answer