Jesse owns 2,000 shares of OOP Inc. currently trading at $1.25. OOP implements a 1:8 reverse stock split (consolidation). Which statement is correct about
Jesse owns 2,000 shares of OOP Inc. currently trading at $1.25. OOP implements a 1:8 reverse stock split (consolidation). Which statement is correct about the impact of this reverse stock split? a) The value of Jesse's investment will not change because of the consolidation. b) The value of Jesse's investment will increase because of the consolidation. c) The value of Jesse's investment will decrease because of the consolidation. d) Jesse's investment is not affected as the consolidation applies only to a new issue of shares.
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