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How would the declaration of a share dividend by corporation

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Reference no: EM132804053

Problem 1: How would the declaration of a 15% share dividend by a corporation affect retained earnings and total shareholders' equity?

a. Retained earnings, decrease; total shareholders equity, no effect.

b. Retained earnings, no effect; total shareholders' equity, no effect.

c. Retained earnings, decrease; total shareholders equity, decrease.

d. Retained earnings, no effect; total shareholders' equity, decrease.

Problem 2: Treasury stock is considered as

a. authorized and issued shares.

b. authorized and unissued shares.

c. unissued and outstanding shares.

d. issued and outstanding shares.

Reference no: EM132804053

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