In a Reverse Stock Split, ____

question 58

Multiple Choice

In a reverse stock split, ____.

• A) the number of shares are decreased
• B) the market value is decreased
• C) retained earnings decrease
• D) par value decreases

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Definitions:

Jensen Measure

A performance metric that evaluates investment manager's returns excess compared to what could have been earned on a risk-adjusted basis.

Standard Deviation

A measure of the dispersion or variation in a set of values, indicating how much the values deviate from the mean.

Beta

Beta is a measure of a security's volatility in relation to the overall market, indicating how much a security's price is expected to move compared to market movements.

Risk-Free Return

The theoretical return attributed to an investment that has no risk of financial loss, often represented by the yield on government securities.