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:

Persuasive Approach

A persuasive approach involves strategies designed to convince or influence others to adopt a specific viewpoint or take a particular action.

Direct Approach

A communication strategy where the main point or conclusion is presented at the beginning, followed by supporting details.

Analytical Approach

A method of problem-solving that involves breaking down a complex issue into smaller, more manageable components for better understanding.

Planning Phase

The initial stage in a project or activity where goals are defined, strategies are developed, and tasks are prioritized.