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Intermediate Accounting: Reporting...

3rd Edition
James M. Wahlen + 2 others
ISBN: 9781337788281

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BuyFindarrow_forward

Intermediate Accounting: Reporting...

3rd Edition
James M. Wahlen + 2 others
ISBN: 9781337788281
Textbook Problem
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Distinguish between an ordinary and a special stock dividend.

To determine

Differentiate between the ordinary stock dividend and special stock dividend.

Explanation

Stock dividends:

Stock dividends are the number of shares issued by a company to the existing shareholders in a proportion to the number of shares owned by each shareholder, based on a stock dividend percentage.

Ordinary stock dividendSpecial stock dividend
Dividend provided through stock to the same class of stock is called ordinary stock dividend...

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