When a Stock Splits Two-For-One,you Should Expect the Price Per

question 52

Multiple Choice

When a stock splits two-for-one,you should expect the price per share to:

• A)decrease to half its pre-split price.
• B)decrease in value by 75 percent or more.
• C)remain unchanged.
• D)increase to more than twice its pre-split price.
• E)increase to twice its pre-split price.

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Definitions:

Justice Department

A government department responsible for the enforcement of laws and administration of justice, typically at the national level.

Antitrust Laws

Legislation designed to promote competition and prevent monopolies, monopolistic practices, and other unfair business practices that restrict free trade.

Sherman Act

A foundational antitrust law in the United States aimed at prohibiting monopolistic and anti-competitive practices.

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Behavior by an individual or entity that is not rational or sensible, often violating norms or laws.