If the board of directors approves a two-for-one stock split,an investor who owns 125 shares before the split will own ________ shares after the split.
A)75
B)125
C)225
D)250
E)450

Question

Quizplus · Accepted Answer

In a two-for-one stock split, each share owned by an investor is split into two shares, effectively doubling the number of shares they own. Therefore, if an investor owns 125 shares before the split, they will own 125 * 2 = 250 shares after the split.

If the Board of Directors Approves a Two-For-One Stock Split,an