A One-For-Four Reverse Stock Split Will Increase

question 86

Multiple Choice

A one-for-four reverse stock split will increase:

• A) the par value by 25 percent.
• B) the number of shares outstanding by 400 percent.
• C) the market value but not affect the par value per share.
• D) a $1 par value to $4.
• E) a $1 par value to $5.

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Definitions:

Civil Service

The body of government employees who are employed on merit system principles, excluding military and political appointments.

Partisanship

Devotion or allegiance to a particular political party or cause, sometimes resulting in a polarized political environment.

Civil Service Commission

A government body charged with overseeing the hiring and management of federal government employees to ensure a merit-based, non-partisan civil service.

Pendleton Act

Legislation passed in 1883 that established the United States Civil Service Commission, which ended the spoils system and made merit the basis for hiring and promoting in the federal service.