Question

A 5 for 3 stock split gives existing shareholders the same number of shares as as _ % stock dividend.

Answer 1

A 5 for 3 stock split is equivalent to a 67% stock dividend because it results in shareholders owning 8 shares for every 3 they originally owned.

Step-by-step explanation:

A 5 for 3 stock split gives existing shareholders the same number of shares as a 67% stock dividend. This type of stock transaction means that for every 3 shares a shareholder owns, they would receive an additional 5 shares, bringing the total to 8 shares, equivalent to saying that a shareholder now owns 8 shares for every 3 shares they used to own. This increase in the number of shares represents a 67% increase ((5/3 - 1) * 100% = 67%).