Tarheel Computing's Stock Was Trading at $150 Per Share Before

question 21

Multiple Choice

Tarheel Computing's stock was trading at $150 per share before its recent 3-for-1 stock split. The 3-for-1 split led to a 5 percent increase in Tarheel's market capitalization. (Market capitalization equals the stock price times the number of shares.) What was Tarheel's price after the stock split?

• A) $472.50
• B) $ 50.00
• C) $ 47.62
• D) $428.57
• E) $ 52.50

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Definitions:

Fund-raising

The process of gathering voluntary contributions of money or other resources by requesting donations from individuals, businesses, charitable foundations, or governmental agencies.

Financial Performance Measurement

The process of evaluating how well a company or organization manages its income and expenses to maximize profit and ensure sustainability.

Financial Results

The outcomes of a company's operations and activities in terms of profits, losses, revenue, and expenses over a specific period.

Measure of Efficiency

Metrics and criteria used to evaluate how effectively and economically resources are utilized to achieve desired outcomes.