Investor A owns 10% of the common stock of IDE Corporation.After IDE completes a 2-for-1 stock split,Investor A will own 20% of the common stock of the corporation.

Question

Quizplus · Accepted Answer

A stock split does not change the proportion of ownership in a corporation. If Investor A owns 10% of the common stock before the split, they will still own 10% of the common stock after the split. Therefore, Investor A will not own 20% of the common stock after the split.

Investor a Owns 10% of the Common Stock of IDE