Which Two of the Following Are the Best Justifications for a Reverse

question 2

Multiple Choice

Which two of the following are the best justifications for a reverse stock split?
I.combine a reverse stock split with a stock repurchase to enable a firm to go dark
II.increase the respectability of the stock
III.avoid delisting
IV.reduce transaction costs for shareholders

• A)I and II only
• B)I and III only
• C)II and III only
• D)II and IV only
• E)III and IV only

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Definitions:

Working With Others

Collaborating or co-operating with other people to achieve common goals or complete tasks.

Group Cohesiveness

The extent to which members of a group stick together and remain united in the pursuit of common goals.

Group Diversity

The inclusion of individuals from a variety of backgrounds, cultures, races, genders, and other identity markers within a group, contributing to a range of perspectives.

Individuality

The quality or character of being an individual; possessing distinctive or unique characteristics, separate from others.