"Reality is that $4 times 200 shares is $800. $1 times 1,000 shares is $1,000. So $1 CAN be worth more than $4. tricky? Yes, but also reality."
"whether by split or growth"
uhhh percentages buddy i dont think you know them.
1,000 shares bought at .02 is worth $20 right? and if we saty at 1.00 per share then its 1,000 shares x $1.00 then you have $1,000 easy math, right? You turned your $20 into $1,000 that's a 50x increase of money because you divide $1.00 by your buy in price .02/ 1/.02 = 50
If we do a reverse split it doesn't matter what my shares turn to. My $20 dollar investment will always be a $20 investment. So now if the stock is worth $4.00 because of the split and I bought in at .02 the multiplication factor of my investment is 200x. Why? becase 4/.02 = 200. So i multiply my $20 x 200 and I get $4,000. So no " $1 CAN be worth more than $4" is FALSE and yes it is "tricky" I would recommend you don't post what you haven't fully mastered you will just confused more ppl.
Also the non percentage way. 1,000 shares reverse split of "1 for 5" so you get 200 shares. 200 shares times the new price of 4.00 = 800 dollars
THEN you multiply the 800 dollars by 5 BECAUSE there was a split and boom 4,000$ MAGIC. Remember kids, what ever you do to one side of the equation you do to the other side of the = (equals) sign. Elementary or was that middle school? i cant remember
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