Register
Why does a stock dividend require a formal journal entry in the financial accounting records when a stock split does not?
108k views
3 votes
Why does a stock dividend require a formal journal entry in the financial accounting records when a stock split does not?

User Xenoprimate
by
7.8k points

1 Answer

4 votes
A stock split will not change the general ledger account balances and ... equity remains the same, astock dividend requires a journal entry to transfer an amount ...
User NeroS
by
8.2k points
Ask a Question
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

9.5m questions

12.2m answers

Other Questions

Who was Adam Smith ? Anybody?
What can turn igneous rock into sediment?
In what way did the GI Bill contribute to the growth of professional and white-collar jobs ? A.by providing US laborers with new job-training programs B.by giving US veterans assistance to purchase a new
What is the best way to describe a stock market?
You sell popcorn during your schools football games. Knowing that the people usually buy more when the price is lower, how would you price your popcorn after halftime?
Link Copied!