As a cash dividend he orders just watch our stock rise when

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as a cash dividend," he orders. "Just watch our stock rise when we announce the stock dividend; it must be a good thing if that happens."

Instructions

(a) Who are the stakeholders in this situation?

(b) Is there anything unethical about president Mailor's intentions or actions?

(c) What is the effect of a stock dividend on a corporation's stockholders' equity accounts?

Which would you rather receive as a stockholder-a cash dividend or a stock dividend?Why?

Reference no: EM13586438

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