Reverse Splits Are a Technique Used by Some NASDAQ-Traded Firms

question 52

True/False

Reverse splits are a technique used by some NASDAQ-traded firms to prevent their share prices from falling below a threshold that will give the NASDAQ the option to delist the stock.

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Definitions:

Reinforcer

Any stimulus that, when presented after a response, strengthens the response or increases the likelihood that it will happen again.

Primary Reinforcers

Stimuli that are inherently rewarding and satisfy biological needs, used in behavioral conditioning to reinforce desired behaviors.

Secondary Reinforcer

A stimulus that becomes reinforcing through its association with a primary reinforcer, meaning it is not naturally rewarding.

Shaping

A process in behavioral psychology involving the reinforcement of closer and closer approximations of a desired behavior.