The Division of Each Outstanding Share of a Corporation's Stock

question 62

Multiple Choice

The division of each outstanding share of a corporation's stock into a greater number of shares is called:

• A)a stock split.
• B)a stock conversion.
• C)a stock dividend.
• D)a cash dividend.

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Definitions:

Inputs

Resources such as labor, raw materials, and capital that are used in the production process to create goods or services.

Gain From Trade

The benefit obtained by countries, organizations, or individuals from engaging in exchange or trade.

Absolute Advantage

The ability of an entity to produce a good or offer a service more efficiently than its competitors when using the same amount of resources.

Absolute Advantage

The capability of an individual, company, or country to produce a good or service at a lower cost per unit than competitors.