Multiple Choice Constraints Involve Binary Variables

question 39

True/False

Multiple choice constraints involve binary variables.

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Definitions:

Stock Split

A corporate action to increase the number of outstanding shares by dividing each share, which typically lowers the stock price but does not affect the company's market value.

Market Price

The contemporary market price for transactions involving an asset or service.

Stock Split

A corporate action where a company divides its existing shares into multiple shares to increase liquidity.

Par Value

The face value of a bond or stock as stated by the issuing company, which has little effect on the market value but can have legal implications.