A Shareholder Will Own the Same Percentage of Stock in the Distributing

question 18

True/False

A shareholder will own the same percentage of stock in the distributing corporation under both a spin-off and a split-off of a subsidiary.

---

Definitions:

Contract

A legally binding agreement between two or more parties that outlines obligations and rights of each party.

Cardiac Muscle Fibers

Specialized muscle cells in the heart characterized by their ability to contract rhythmically and continuously without fatigue to pump blood throughout the body.

Skeletal Muscle Fibers

Cellular components of skeletal muscles that contract to produce voluntary movements of the body.

Voluntary Control

The ability to consciously control movements of the body or parts of the body, such as limbs.