Which of the following is the best definition of a stock split?
A) Stocks attract particular groups based on dividend yield and the resulting tax effects.
B) Price range between highest and lowest prices at which a stock is traded.
C) A firm's long-term desired dividend-to-earnings ratio.
D) Common stock on which dividends and capital gains are repackaged and sold separately.
E) An increase in a firm's shares outstanding without any change in owner's equity.
Correct Answer:
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