________ is the term used when firms decide to divide the company's stock into a lesser number of outstanding shares.

Question

Quizplus · Accepted Answer

The term used when firms decide to divide the company's stock into a lesser number of outstanding shares is known as a reverse split. This is usually done by companies to increase the per-share value of their stock and make it more attractive to potential investors. A reverse split is the opposite of a stock split, where a company increases the number of outstanding shares. Option A and B are not relevant to the context, and option D is not a correct term.

________ Is the Term Used When Firms Decide to Divide