1.1.method

question 110

Multiple Choice

1.1.method?

• A)$43,857
• B)$40,000
• C)$21,000
• D)$7,200

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Definitions:

Stock Split

A corporation's decision to divide its existing shares into multiple shares to boost the liquidity of the shares, though the market capitalization remains the same.

Market Price

The prevailing cost at which a service or asset is offered for sale or purchase in the open market.

Stock Split

involves dividing a company's existing stock into multiple shares to boost the liquidity of the shares, although the overall value of the company does not change.

Retained Earnings

The portion of a company’s profits that is kept or retained for reinvestment in the business, rather than being paid out as dividends to shareholders.