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An investor holds 1,000 shares of a stock with a total cost basis of $5,000...

An investor holds 1,000 shares of a stock with a total cost basis of $5,000 in his account when a 1-for-5 reverse stock split is announced. What will be the investor's total cost basis after the payable date of the reverse split?

A.

$1,000

B.

$2,500

C.

$5,000

D.

$25,000

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  • Vendor: FINRA
  • Product: SIE
  • Update on: Jan 2, 2026
  • Questions: 188
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