The Reduction in the Par or Stated Value of Common

question 150

True/False

The reduction in the par or stated value of common stock, accompanied by the issuance of a proportionate number of additional shares, is called a stock split.

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Definitions:

External Forces

Factors outside an organization that affect its performance and strategies, including economic, political, technological, and social influences.

Situation Analysis

An assessment of the internal and external factors affecting an organization with the aim of identifying strengths, weaknesses, opportunities, and threats.

Distribution

The method of providing a product or service to consumers or business users who require it.

Hiring Freeze

A temporary halt in the recruitment of employees by an organization, usually due to financial constraints or organizational restructuring.