WHY SWFS SHOULD PAY DIVIDENDS - Basic Income

The price of the stock is immediately adjusted so that the total equity remains the same. For instance, if a $100/share stock splits 2 for 1, there will be twice as many shares but they only be worth $50 each now. This is usually done to make the stock more affordable to the public. A reverse stock split is a decrease in the number of shares. ................
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