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There are various web-sites on that supply information about stock dividends, split stocks, and reverse split stocks. The web-sites used for my research is as follows: investopedia.com, SEC.gov, and finweb.com. Each site provided insight on a company’s growth, stocks, potential profitability, and gave an explanation of the terms used for analysis. A stock dividend is a payment in the form of additional shares, rather than a cash payout. Through stock dividends, an organization recapitalizes its earnings and issues new shares, which are usually expressed as a percentage of the number of shares the company has outstanding. Generally, they are acknowledged in the form of fractions paid per existing share. E.g. A firm issuing a stock dividend of 0.05 shares for each single share held. A firm may decide to distribute stock to their shareholders if the firm’s liquid cash is in short supply. Stock dividends have little to no effect on a firm or an investor because both the firm’s assets and liabilities remain the same. Each shareholder receives the same percentage increase in shares, and their proportional interest stays the same. (FinancialWeb, 2014) A reverse stock split is an action that results in fewer shares outstanding for a publically traded company, and increases the par value of its stock or earnings per share. Even though the par value of the stock increases, the market capitalization remains the same. In a reverse stock split, an organization declares each shareholder of record will have their overall holdings shrunk, and the price increased. E.g. 2-to-1 reverse split means you will receive half the amount of shares double the price. If you own 200 shares of a company’s stock that is trading at $12.00 per share and the stock experiences a 2-to-1 reverse stock split, you will now own 100 shares stock at $24.00 per share. Ultimately, the effect on

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