If a Company Declares a Stock Split, What Is the Effect

question 70

Multiple Choice

If a company declares a stock split, what is the effect on their retained earnings and earnings per share?

$\begin{array}{ll}&\text { Retained } & \text { Earnings } \\&\text { Earnings } & \text { per Share }\\\hlineA.&\text { Unchanged } & \text { Unchanged } \\B.&\text { Unchanged } & \text { Decreased } \\C.&\text { Decreased } & \text { Unchanged } \\D.&\text { Decreased } & \text { Decreased }\end{array}$

• A)Option A
• B)Option B
• C)Option C
• D)Option D

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Definitions:

Chronicity

A characteristic of a health condition where it is long-lasting or recurrent, typically requiring long-term management.

Recurrence

The act of happening again or returning after a period of absence or remission, often used in a medical context to describe the return of a disease.

Aging Population

Refers to a demographic trend characterized by an increase in the proportion of older individuals within a society.

Proportion of Minorities

The ratio or percentage of individuals in a population who identify with or belong to ethnic, racial, or other minority groups.