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Why Do Some Companies Split Their Stock

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Why do some companies split their stock?


Definitions:

Price-Elasticity Coefficient

A numerical measure of the responsiveness of the quantity demanded or supplied of a good to a change in its price.

Elastic

A term in economics that describes the sensitivity of demand or supply to changes in price or income.

Price Range

The spread between the lowest and highest price at which a product or service is offered in the market.

Demand Schedule

A table that shows the quantity of a good or service demanded at different price levels.

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