18. When a company declares a 3-for-1 stock split, the number of outstanding shares: a.triples. b.stays the same, but the number of issued shares triples. c.is reduced by one-third. d.is reduced by one-third, and the number of issued shares is tripled.

18. When a company declares a 3-for-1 stock split, the number of outstanding shares: a.triples. b.stays the same, but the number of issued shares triples. c.is reduced by one-third. d.is reduced by one-third, and the number of issued shares is tripled.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter14: Corporation Accounting

Section: Chapter Questions

Problem 15EB: Nutritious Pet Food Companys board of directors declares a 2-for-1 stock split on June 30 when the...

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Question

18.

When a company declares a 3-for-1 stock split, the number of outstanding shares:

a.triples.

b.stays the same, but the number of issued shares triples.

c.is reduced by one-third.

d.is reduced by one-third, and the number of issued shares is tripled.

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