Tell a stock split from share dilution: test your skills
A split changes the number of shares, not the value. Dilution is different — it can shrink your ownership share. Answer each question to see the explanation; your score appears at the end.
This test checks that you can
- Calculate shares and price after a split
- Tell a split from dilution
- Explain how dilution affects ownership and EPS
- Practice
1. After a 2-for-1 split your total value…
- Practice
2. Dilution happens when…
- Practice
3. A 1-for-10 reverse split…
- Key idea
4. Which statement best explains "Splits change slices, not the pie"?
- Key idea
5. Which statement best explains "Dilution adds slices"?
- Key idea
6. Which statement best explains "Use of money matters"?
- Action plan
7. In the action plan, which step comes first?
- Mistake to avoid
8. Which of these is a mistake this lesson warns against?
- Mistake to avoid
9. Which of these is a mistake this lesson warns against?
You own 30 shares at $150. After a 3-for-1 split, how many shares and at what price?
Show the answer
90 shares at $50
30 × 3 = 90. $150 ÷ 3 = $50. Value stays $4,500.
Work out your shares and price after a 3-for-1 split of 30 shares at $150.
More tests in this bootcamp
- What is a stock? Understand ownership and risk
- Compare common and preferred shares
- Follow a stock trade from quote to exchange
- Measure company size with market capitalization
- Read dividend yield without mistaking it for a promise
- Decode the P/E ratio: price compared with profit
- Understand growth and value investing styles
- Follow an IPO from offer price to public trading
- Tell a stock split from share dilution
- Understand market rises, falls and recovery math
- Final exam: Stocks and the market