To Adjust for Stock Splits

Multiple Choice

To adjust for stock splits

A) the exercise price of the option is reduced by the factor of the split, and the number of options held is increased by that factor.
B) the exercise price of the option is increased by the factor of the split, and the number of options held is reduced by that factor.
C) the exercise price of the option is reduced by the factor of the split, and the number of options held is reduced by that factor.
D) the exercise price of the option is increased by the factor of the split, and the number of options held is increased by that factor.