Which of the following statements are true regarding dividends? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer.) A stock dividend increases the number of outstanding shares. unanswered A stock dividend commonly indicates management's confidence that the company is doing well. unanswered A large stock dividend is recorded by capitalizing retained earnings for the market value of the stock. unanswered The payment date reflects the date a cash dividend is paid to stockholders.

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Answer:

The options that are true regarding dividends include:

  1. A stock dividend increases the number of outstanding shares.
  2. A stock dividend commonly indicates management's confidence that the company is doing well.

Explanation:

A stock dividend is a payment to shareholders that is made in shares rather than in cash.

Once investors receive stock dividends, the number of their shares will increase. this validates the first statement

Secondly, stock dividends have a tax advantage for the investor. The share dividend, like any stock share, is not taxed until the investor sells it unless the company offers the option of taking the dividend as cash or in stock.

The stock dividend has the advantage of rewarding shareholders without reducing the company's cash balance thereby indicating management's confidence in the company is well-being.

A dividend is termed as the distribution of profits by the corporates to its shareholders. When the corporates earn more amount as surplus in the revenue form, they pay a proportion of the amount to its shareholders that is the amount of dividend.

The true options regarding dividends are:

  • A stock dividend increases the number of outstanding shares.
  • A stock dividend commonly indicates management's confidence that the company is doing well.

A stock dividend is a payment to shareholders that is made in shares rather than in cash.   Secondly, stock dividends have a tax advantage for the investor. The share dividend is not taxed until the investor sells it unless the company offers the option of taking the dividend as cash or in stock.

Options:

  • A large stock dividend is recorded by capitalizing retained earnings for the market value of the stock.
  • The payment date reflects the date a cash dividend is paid to stockholders.

These are false statements because they do not specify the payment of the dividend or the true fact regarding the dividend.

To know more about the true facts of the dividend, refer to the link below:

https://brainly.com/question/15500589