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In a reverse stock split: A) the number of shares outstanding increases and owners' equity decreases. B) the number of shares outstanding decreases but owners'

In a reverse stock split:

A) the number of shares outstanding increases and owners' equity decreases.

B) the number of shares outstanding decreases but owners' equity is unchanged.

C) the firm buys back existing shares of stock on the open market.

D) the firm sells new shares of stock on the open market.

E) shareholders make a cash payment to the firm.

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