Which of the following is correct regarding a two-for-one stock split?
A) After the split, each stockholder will have greater ownership interest in the corporation.
B) The purpose of the split is to make a distribution to the stockholders.
C) The purpose of the split may be to decrease the value per share of the stock.
D) The value of each share of stock will increase as a result of the split.
Correct Answer:
Verified
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