Indicate whether the following actions would (+) increase, (–) decrease, or (0) not affect a company's total assets, liabilities, and stockholders' equity.
Stockholders'
Assets
Liabilities
Equity
(a)Declaring a cash dividend_______
_______
_______
(b)Paying the cash dividend declared in (a)_______
_______
_______
(c)Declaring a stock dividend_______
_______
_______
(d)Issuing stock certificates for the stock dividend declared in (c)_______
_______
_______
What will be an ideal response?
Stockholders' | ||||
Assets | Liabilities | Equity | ||
(a) | Declaring a cash dividend | 0 | + | - |
(b) | Paying the cash dividend declared in (a) | ?- | ?- | ?0 |
(c) | Declaring a stock dividend | 0 | 0 | 0 |
(d) | Issuing stock certificates for the stock | |||
dividend declared in (c) | 0 | 0 | 0 |
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