Of the Following, Which Two Are the Best Reasons for Doing

question 20

Multiple Choice

Of the following, which two are the best reasons for doing a reverse stock split?
I.Return a stock to its normal trading range
II.Eliminate small shareholders
III.Reduce shareholder costs
IV.Avoid delisting

• A)I and II
• B)I and III
• C)II and III
• D)II and IV
• E)III and IV

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Definitions:

Regulation

The establishment of rules by government or other authorities to control or govern conduct within a specific area.

Substantial

Of considerable importance, size, or worth; a term indicating something that is large enough in magnitude or number to merit attention.

Industrialization

The transformation from agrarian societies to industrial economies, characterized by the development of manufacturing, technological advancement, and urban growth.

Non-animate Sources

Objects or entities that do not possess life or consciousness, often referred to in discussions about energy, matter, or information.