All of the Following Are Rationales Given for a Stock

question 93

Multiple Choice

All of the following are rationales given for a stock dividend or split EXCEPT

• A) the price will not fall proportionately to the share increase.
• B) an optimum price range does not exist.
• C) there is positive informational content associated with the announcement.
• D) conservation of corporate cash.

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Definitions:

Shared Power

A leadership or organizational model where authority and decision-making responsibilities are distributed among various stakeholders rather than centralized.

Direct Action

A method of protest or political activism that involves immediate, decisive action to achieve an objective, often outside of governmental or corporate mechanisms.

Expertise

The skill, knowledge, or proficiency acquired through experience or education in a specific field.

Social Forces

The societal influences that affect the actions, behaviors, and attitudes of individuals or groups within a culture or organization.