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Question 2: A firm currently has 8 million shares of stock outstanding that have a current market price of $12. If all else remains constant, what will be the share price after each of the following: A 20% stock dividend. A four-for-one stock split A 32.5% stock dividend What would be the total number of shares outstanding after parts a through c? a. b. d.
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13a|Price per share |$ 10.00| 141 Shares outstanding| 9,600,000| 15 -12/(1+20%) -8000000*(1+20%) 16 b Price per share3.00 17 Shares outstanding 32,000,000 18 19 c Price per share 12/4 -8000000*4 $9.06 1-12/(1+32.5%) 201 Shares outstanding| 10,600,000| -8000000*(1+32.5%)

shares outstanding in eadch case showed as sub part in a, b and C

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