Accounting / Stocks & Dividends
When a board of directors declares a cash dividend, it authorizes the distribution of ____.
Cash to its stock holders
_____ is stock that a corporation has issued and then reacquired.
Treasury Stock
A cash distribution of earnings by a corporation to its stockholders is a
cash dividend
The date of _______ is the date the board of directors formally authorizes the payment of the dividend. (incurs liability)
declaration
No ____ are paid on the shares of treasury stock.
dividends
When a board of directors declares a stock dividend, it authorizes the distribution of ____.
its stock
____ are one-time expenses related to the formation of the corporation and will not be paid again at a later date
organizational expenses
The date of ______ is the date the corporation will pay the dividend to the stockholders who owned the stock on the date of record.
payment
The date of ______ is the date the corporation uses to determine which stockholders will receive the dividend.
record
Declaring a cash dividend or a stock dividend reduces the ______ of a corporation
retained earnings
A ________ is a distribution of shares of stock to stockholders.
stock dividend
A major objective of a _____ is to reduce the market price per share of the stock.
stock split