If a Company Issues New Stock, This Will Always Decrease

question 15

True/False

If a company issues new stock, this will always decrease book value per share.

---

Definitions:

Homeostasis

The process by which biological systems tend to maintain stability while adjusting to conditions that are optimal for survival.

Yerkes-Dodson Law

A theory that suggests there is an optimal level of arousal for the best performance on any task; too little or too much arousal can decrease performance.

REM

Rapid Eye Movement, a phase of sleep characterized by fast and random movement of the eyes, associated with dreaming.

NREM

Non-Rapid Eye Movement sleep, which is characterized by slower brain waves and serves as a period of rest and recovery for the body.