Question
Magnum Company, which had 45 000 of its ordinary shares originally issued at $3 now has a 3-for-1 share split. The market price of the
Magnum Company, which had 45 000 of its ordinary shares originally issued at $3 now has a 3-for-1 share split.
The market price of the share was $30 per share before the split.
Which of the following is true as a result of the split?
| The contributed capital does not change | ||
| The balance in the ordinary shares account increased to $135 000 | ||
| The market price of the share was not affected | ||
| There were 15 000 ordinary shares on issue after the split |
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Security Audit And Control Features SAP ERP
Authors: Isaca
4th Edition
1604205806, 978-1604205800
