A corporation has 50,000 shares of $25 par stock outstanding. If the corporation issues a 3-for-1 stock split, the number of shares outstanding after the split will be

Question

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In a 3-for-1 stock split, each share is split into 3 shares, so the number of shares outstanding will be multiplied by 3. Therefore, 50,000 shares will become 150,000 shares after the split.

A Corporation Has 50,000 Shares of $25 Par Stock Outstanding