Mid-State BankCorp Recently Declared a 7-For-2 Stock Split

question 12

Multiple Choice

Mid-State BankCorp recently declared a 7-for-2 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)$20.63
• B)$21.71
• C)$22.86
• D)$24.00
• E)$25.20

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Definitions:

Cognitive Dissonance

A state of mental discomfort occurring when a person holds two or more contradictory beliefs, ideas, or values at the same time.

Ethical Values

Principles or standards of behavior that guide moral choices about our actions and interactions with others.

Military Unit

An organization within an armed force defined by its function, size, and hierarchical position, tasked with specific duties.

Minority Influence

The process by which a smaller part of a group changes the opinions or behavior of the larger group through persuasive argumentation and consistency.