A Reverse Stock Split Is Sometimes Used as a Means

question 10

Multiple Choice

A reverse stock split is sometimes used as a means of:

• A) decreasing the liquidity of a stock.
• B) decreasing the market value per share of stock.
• C) increasing the number of stockholders.
• D) keeping a firm's stock eligible for trading on a stock exchange.
• E) raising cash from current stockholders.

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Definitions:

Punishment

A consequence that decreases the likelihood of a behavior being repeated.

People's Response

The reactions or responses provided by individuals or groups to various stimuli or situations.

Enjoy

To take delight or pleasure in an activity or experience.

Escape Response

A behavioral reaction by an organism to avoid or flee from an unpleasant or threatening stimulus.