The Primary Purpose of a Stock Split Is to

question 105

Multiple Choice

The primary purpose of a stock split is to

• A) increase paid-in capital
• B) reduce the market price of the stock per share
• C) increase the market price of the stock per share
• D) increase retained earnings

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Definitions:

McClelland's Learned Needs

A theory suggesting that individuals’ specific needs are acquired over time and are shaped by one’s life experiences, focusing on the needs for achievement, affiliation, and power.

Maslow's Hierarchy

A theory in psychology proposed by Abraham Maslow in 1943, which posits that people are motivated by five basic categories of needs: physiological, safety, love/belonging, esteem, and self-actualization, addressed in ascending order.

Cultural Values

The collective principles, norms, and ideals that shape a society or organization's behavior and beliefs.

Self-Actualization

Bringing to fruition one's natural talents and possibilities, viewed as an essential impulse or requirement inherent in everyone.