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An investor owns 200 shares of a stock that has split 2 for 1. The investor will get the additional 200 shares by_______.
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An investor owns 200 shares of a stock that has split 2 for 1. The investor will get the additional 200 shares by_______.

User Alexandr Kurilin
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1 Answer

4 votes

Answer:

Step-by-step explanation:

Given information

Number of shares owned = 200 shares

Split ratio = 2 for 1

Number of additional shares = 200 shares

The additional shares would get when the investor received the new certificate which specifies the additional shares plus the old certificate is also with the investor which decreased the par value of each share.

It is a cheaper method as compare to cancel the shares plus issuing them

User Jason Towne
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