Which of the Following Is the Most Probable Way in Which

question 67

Multiple Choice

Which of the following is the most probable way in which a shareholder will benefit from a share split?

• A)The immediately lower share price will attract enough increased interest in the share to cause the market price to increase on a more consistent basis.
• B)The immediately higher number of shares that an investor owns immediately increases the investor's wealth.
• C)The shareholder can use the immediately increased wealth to borrow more money to buy even more shares at the immediately lower market price.
• D)A shareholder can lose money after a share split if the market believes that the split was an artificial way of attracting attention to a company that is not well managed.

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Definitions:

Cohesiveness

The degree to which members of a group or team are attracted to each other and motivated to stay in the group.

Team Leaders

Individuals who guide, direct, and lead teams towards achieving their goals and objectives, often responsible for fostering teamwork and resolving conflicts.

Coaches

Professionals who support, instruct, and guide individuals or teams to achieve specific personal or professional goals.

Managers

Individuals responsible for controlling or administering all or part of a company or similar organization.