ABC Corporation issues a 1-for-5 bonus share. If an investor owns 100 shares before the bonus issue, how many shares will they own afterwards?a.20b.120c.125d.80

The bonus share issue of 1-for-5 means that for every 5 shares an investor owns, they receive 1 additional share.

Step 1: Determine how many sets of 5 shares the investor has. The investor owns 100 shares, so they have 100/5 = 20 sets of 5 shares.

Step 2: For each set of 5 shares, the investor gets 1 bonus share. So, the investor gets 20 * 1 = 20 bonus shares.

Step 3: Add the bonus shares to the original number of shares. The investor originally had 100 shares, so after the bonus issue, they have 100 + 20 = 120 shares.

So, the answer is b. 120.

A 1-for-5 bonus share means that for every 5 shares an investor owns, they receive 1 additional share.

Step 1: Determine how many sets of 5 shares the investor has. In this case, the investor has 100 shares, so they have 20 sets of 5 shares (100 ÷ 5 = 20).

Step 2: For each set of 5 shares, the investor receives 1 bonus share. So, the investor receives 20 bonus shares (20 sets * 1 bonus share per set = 20 bonus shares).

Step 3: Add the number of bonus shares to the original number of shares. The investor originally had 100 shares and received 20 bonus shares, so they now have 120 shares (100 original shares + 20 bonus shares = 120 total shares).

So, the answer is b.120.