Hubert Company Declared a 2-For-1 Stock Split on Its 200,000

question 152

Multiple Choice

Hubert Company declared a 2-for-1 stock split on its 200,000 shares of $10 par value common stock. As a result of this transaction:

• A)the number of shares increases to 400,000 and the par value remains at $10 per share.
• B)the number of shares increases to 400,000 and the par value is reduced to $5 per share.
• C)the number of shares is reduced to 200,000 and the par value increases to $20 per share.
• D)none of these answers is correct.

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Definitions:

Sensorimotor Stage

The first stage in Piaget's theory of cognitive development, occurring from birth to approximately 2 years of age, during which infants learn about the world through their senses and actions.

Skinnerian

Pertaining to the theories and principles of B.F. Skinner, particularly regarding behaviorism and the use of reinforcement and punishment.

Behavior

The actions or reactions of an individual or system in response to external or internal stimuli.

Attachment

The emotional bond that develops between a child and a caregiver, forming the basis for relationships later in life.