Becker Financial Recently Declared a 2-For-1 Stock Split

question 39

Multiple Choice

Becker Financial recently declared a 2-for-1 stock split.Prior to the split,the stock sold for $80 per share.If the firm's total market value is unchanged by the split,what will the stock price be following the split?

• A)$36.10
• B)$38.00
• C)$40.00
• D)$42.00
• E)$44.10

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Definitions:

Situational Compliance

The adjustment of an individual's behavior to align with the demands or norms of a particular situation.

Conscience

Internal standards of behavior, which usually control one’s conduct and produce emotional discomfort when violated.

Autonomy

The ability or right of individuals to make their own decisions without interference from others.

Caregiver

An individual who provides care and support to a person who is elderly, disabled, or otherwise in need, often a family member or professional assistant.