Sarah Is Taking a Test

question 222

Multiple Choice

Sarah is taking a test. The first question asks her how many uses she can think of for a beach towel. The next question asks how many ways she could think of to travel from Chicago to Los Angeles. The third question asks how many strategies she can think of to recruit new students to her university. Sarah is probably taking a test to measure her ability in which area?

• A) Convergent thinking
• B) Divergent thinking
• C) Insight
• D) Intuition

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Definitions:

Stock Dividend

A distribution of additional shares of a company's stock to its shareholders at no extra cost.

Stock Split

A corporate action increasing the number of shares issued and outstanding, by issuing more shares to current shareholders proportionally, effectively reducing the price per share.

Common Stockholders

Individuals or entities that own a portion of a corporation's equity and have voting rights based on their share ownership.

Shares Outstanding

The total number of shares of a company's stock that are currently owned by investors, including those held by the public as well as restricted shares owned by the company's insiders and employees.