Final answer:
When a stock split occurs, the number of shares owned by each shareholder increases, while the value per share decreases. In this case, the stock split is 2-for-1, which means that for every share you own, you will receive an additional share.
Step-by-step explanation:
When a stock split occurs, the number of shares owned by each shareholder increases, while the value per share decreases. In this case, the stock split is 2-for-1, which means that for every share you own, you will receive an additional share. Since you originally owned 300 shares, after the stock split, you will now own 600 shares. The value of each share will decrease to maintain the same total value of your investment. So, your wealth has increased in terms of the number of shares you own, but the value per share has decreased.
Your initial investment was $10 per share, so your total investment was 300 shares * $10 per share = $3000. After the stock split, your total investment is still $3000, but now you have 600 shares. The value per share is $3000 / 600 shares = $5 per share. So, your wealth has increased in terms of the number of shares you own, but the value per share has decreased from $10 to $5.