Hubert Company declared a 2-for-1 stock split on its 200,000 shares of $10 par value common stock. As a result of this transaction:
A) the number of shares increases to 400,000 and the par value remains at $10 per share.
B) the number of shares increases to 400,000 and the par value is reduced to $5 per share.
C) the number of shares is reduced to 200,000 and the par value increases to $20 per share.
D) none of these answers is correct.
Correct Answer:
Verified
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