Toombs Media Corp

question 61

Multiple Choice

Toombs Media Corp.recently completed a 3-for-1 stock split.Prior to the split,its stock sold for $150 per share.The firm's total market value was unchanged by the split.Other things held constant,what is the best estimate of the stock's post-split price?

• A)$50.00
• B)$52.50
• C)$55.13
• D)$57.88

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Definitions:

Independent Variable

A variable that is manipulated or categorized to observe its effect on a dependent variable in experimental research.

Interaction Effect

In statistics, a circumstance where the effect of one independent variable on a dependent variable is different at different levels of another independent variable.

Main Effect

The immediate effect that an independent variable has on a dependent variable within an experimental framework.

Simple Effect

Analysis within ANOVA that looks at the effect of one factor at a specific level of another factor, useful in interactions.