Stock Splits and Stock Dividends Increase the Earning Capacity of the Firm

question 19

True/False

Stock splits and stock dividends increase the earning capacity of the firm.

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Definitions:

External Labour Supply

The availability of potential job candidates outside an organization, which can influence an organization's ability to hire and the strategies it uses for recruitment.

Brand Recognition

The extent to which consumers are able to identify a brand by its attributes, logo, or products, signifying the presence of strong brand presence in the market.

SWOT Analysis

A strategic planning tool used to identify and analyze the Strengths, Weaknesses, Opportunities, and Threats involved in a project or in a business venture.

Strength

The quality or attribute of being physically strong, or the capacity to sustain the application of force without breaking or yielding.