A Shareholder in Company C Owns 2,000 Shares Bought for $1

question 7

Multiple Choice

A shareholder in Company C owns 2,000 shares bought for $1 each. The company decides to make a bonus issue of one new share for every two existing shares held. How many shares does the shareholder now have in Company C?

• A)3,000 shares.
• B)1,500 shares.
• C)500 shares.
• D)1,000 shares.

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Definitions:

Two-Factor Theory

The Schachter-Singer theory that to experience emotion one must (1) be physically aroused and (2) cognitively label the arousal.

Sympathetic Nervous System Activity

Part of the autonomic nervous system that prepares the body for "fight or flight" responses, increasing heart rate, blood flow, and energy release.

Subjective Well-Being

An individual's self-assessed happiness or satisfaction with life, incorporating emotional reactions and cognitive judgments.

Spillover Effect

The phenomenon where an occurrence in one context or part of life affects another context or part of life.