Which One of the Following Involves a Payment in Shares

question 8

Multiple Choice

Which one of the following involves a payment in shares by a stock issuer that increases the number of shares a shareholder owns but also decreases the value per share?

• A)cash dividend
• B)stock dividend
• C)stock repurchase
• D)stock split
• E)reverse stock split

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Definitions:

Demand

The quantity of a good or service that consumers are willing and able to purchase at various prices during a given time period.

Exchange Rate

The value of one currency for the purpose of conversion to another, determining how much of one currency can be exchanged for another.

Exchange Rate

The value of one currency expressed in terms of another currency, determining how much of one currency can be exchanged for another.

Depreciation

The process of allocating the cost of a tangible asset over its useful life, reflecting its decrease in value over time.