What Would Be the Effect of a Stock Split on the Accounts

question 24

Multiple Choice

What would be the effect of a stock split on the accounts of the company?

• A) an increase in current liabilities upon declaration
• B) an increase in share capital upon declaration
• C) a decrease in retained earnings upon declaration
• D) an increase in the number of shares issued upon declaration

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Definitions:

Mastication

The activity of processing food by chewing, aimed at preparing it for swallowing and digestion.

Chemical Bonds

The attraction between atoms that allows the formation of chemical substances containing two or more atoms.

Contact Digestion

The process by which nutrients are broken down in the small intestine where enzymes directly act on the food.

Brush Border

Epithelial surface consisting of microvilli.