Question

You currently own 200 shares of stock valued at $6 per share. If the firm declares...

You currently own 200 shares of stock valued at $6 per share. If the firm declares a 1-for-4 reverse stock dividend you will own ________ shares valued at ________ per share. Multiple Choice

800;$6

800;$1.50

50; $6

50; $24

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Answer #1

Reverse stock dividend of ares are consolidated So, now we have 1:4 means four existing into one new share. = 2 - 50 shares 2

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