Accounting Chapter 11
False
A dividend is normally laid on the date of record
False
Dividend Revenue is reported in the Sales section of the income statement
True
A buyback often occurs when a corporation believes that its stock is undervalued by the stock market
$0.00
A company purchases 50 shares of its own $1.00 par value stock for $10.00 per share and subsequently sells 30 shares for $12.00 per share. The recognized gain on the sale of stock is
$150,000.00
A corporation having 100,000 shares of $1.00 par-value common stock issues a 5% stock dividend. The stock has a market price of $30.00 per share. The total amount of the stock dividend
True
A corporation typically pays the total amount of the dividend to an agent, who then distributes its to the stockholders
True
A stock dividend is an effective tool for the corporation to keep its stock price within a desired price range
False
Corporations are required to pay quarterly dividends
True
Dividends are not paid on treasury stock
True
Dividends payable is classified as a current liability
True
Don Simms sells his stock to Jan Webb on the date of record. Jan Webb will relieve the quarterly dividend
marketable security
Stock of another corporation purchased as a temporary investment is called....
stockholders equity
Treasury stock would be reported on the balance sheet as
Date of record
The stockholder who receives the dividend is the person who wins the stock on the....
$75,000
A Corporation having 50,000 shares of 6%, $100 par-value preferred stock outstanding will pay a quarterly dividend of....
False
A buyback benefits remaining stockholders because the net income of the corporation is divided among more shares
False
A corporation incurs a liability for the amount of the dividend on the date of record
True
A stock dividend typically results in a decrease in the market price per share
Ex-dividend
An individual who purchases stock on the day after the date of record purchases the shares
False
Marketable securities are a liability of the corporation
Date of record
No transaction is recorded on the....
True
Nothing of value is distributed on the date a corporation declares a dividend
Decreases retained earnings
Payment of a stock dividend....
False
The amount of a stock dividend is based on the stock stated value
board of directors
The payment of a dividend must be authorized by the...
