You Own 100 Shares of Troll Brothers' Stock,which Currently Sells

question 27

Multiple Choice

You own 100 shares of Troll Brothers' stock,which currently sells for $120 a share.The company is about to declare a 2-for-1 stock split.Which of the following best describes your likely position after the split?

• A) You will have 200 shares of stock,and the stock will trade at or near $120 a share.
• B) You will have 200 shares of stock,and the stock will trade at or near $60 a share.
• C) You will have 100 shares of stock,and the stock will trade at or near $60 a share.
• D) You will have 50 shares of stock,and the stock will trade at or near $120 a share.
• E) You will have 50 shares of stock,and the stock will trade at or near $600 a share.

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