Question: Why do stock dividends not reduce total stockholders equity? Multiple choice Because stock dividends may be merchandise, real estate, or investments rather than cash Because

Why do stock dividends not reduce total stockholders equity?

Multiple choice

Because stock dividends may be merchandise, real estate, or investments rather than cash

Because stock dividends are not a share of company profits and are not based on the companys retained earnings

Because stock dividends do not result in the payout of assets or incursion of a liability

Because stock dividends involve a return of stockholder investment rather than the payout of profits

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