Keys Financial Has Done Extremely Well in Recent Years,and Its

question 49

Multiple Choice

Keys Financial has done extremely well in recent years,and its stock now sells for $65 per share.Management wants to get the price down to a more typical level,which it thinks is $40.00 per share.What stock split would be required to get to this price,assuming the transaction has no effect on the total market value? Put another way,how many new shares should be given per one old share?

• A) 1.54
• B) 1.30
• C) 1.63
• D) 1.46
• E) 2.11

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Definitions:

Climate

Average weather conditions, plus extremes (records), that occur in a given place over a period of years.

Species Richness

The number of different species represented in an ecological community, landscape or region.

Freshwater

Water that contains minimal amounts of dissolved salts (salinity), found in rivers, lakes, streams, and ponds, supporting a diverse range of life.

High pH

A condition where a solution has a pH value greater than 7, indicating it is basic or alkaline.