Investors Often Interpret a Stock Split Announcement as a Signal

question 72

True/False

Investors often interpret a stock split announcement as a signal of management's confidence in the future.

---

Definitions:

Normal Fault

A type of geological fault where the hanging wall has moved downward relative to the footwall, usually due to extensional forces.

Cleavage

In geology, the tendency of a mineral to break along flat, parallel surfaces determined by its crystal structure.

Hornfels

A hard, fine-grained metamorphic rock formed by the contact metamorphism of clay-rich or silicate rocks.

Thrust Fault

A type of fault in which the upper block, above the fault plane, moves up and over the lower block.