Assume That You Own 1,500 Shares of $10 Par Value

question 12

Multiple Choice

Assume that you own 1,500 shares of $10 par value common stock and the company has a 5-for-1 stock split when the market price per share is $30. What will probably happen to the market price per share of the stock and the par value per share of the stock?

• A)Market price per share will be about $6 per share, and par value will be $2 per share.
• B)Market price per share will be about $6 per share, and par value will be $50 per share.
• C)Market price per share will be about $150 per share, and par value will be $2 per share.
• D)Market price per share will be about $150 per share, and par value will be $50 per share.

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Definitions:

Management Support

The backing and encouragement provided by managers to their teams, essential for the implementation and success of projects or strategies.

Motivation to Transfer

The drive or willingness of individuals to apply the skills or knowledge acquired from a learning environment to their job or daily activities.

Positive Transfer

Positive transfer occurs when learning in one context enhances performance in another context.

Trainability Equation

A formula or concept used to assess or predict an individual's ability to learn or acquire new skills.