Assume that you own 1,500 shares of $10 par value common stock and the company has a 5-for-1 stock split when the market price per share is $30. How many shares of common stock will you own after the stock split?
A) 1,500 shares, but they will be worth 5 times as much each.
B) 300 shares.
C) 7,500 shares.
D) 1,500 shares but they will be worth 1/5 as much each.
Correct Answer:
Verified
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