2. A corporation has 71,928 shares of $32 par stock outstanding that has a current market...
2. A corporation has 71,928 shares of $32 par stock outstanding that has a current market value of $348 per share. If the corporation issues a 4-for-1 stock split, the market value of the stock will fall to approximately a.$316 b.$87 c.$8 d.$17,982
Homework Answers
A 4-for-1 stock split means one stock was split into 4 stocks. Therefore, a stockholder who held 1 share before the stock-split will hold 4 shares after the stock-split.
The market price of the share will also be split in 4.
Therefore, the market value of stock will fall to $348/4 = $87
The correct answer is b.
Add Answer to:
2. A corporation has 71,928 shares of $32 par stock outstanding
that has a current market...
A corporation has 66,952 shares of $38 par stock outstanding that has a current market value...
A corporation has 66,952 shares of $38 par stock outstanding that has a current market value of $316 per share. If the corporation issues a 4-for-1 stock split, the market value of the stock will fall to approximately a.$278.00 b.$79.00 c.$1,264.00 d.$9.50
A corporation has 50,000 shares of $100 par value stock outstanding that has a current market...
A corporation has 50,000 shares of $100 par value stock outstanding that has a current market value of $180. If the corporation issues a 3-for-1 stock split, the market value of the stock will fall to approximately a. $60 b. $45 c. $33.33 d. $25
A corporation has 50,000 shares of $25 par stock outstanding that has a current market value...
A corporation has 50,000 shares of $25 par stock outstanding that has a current market value of $150 per share. If the corporation issues a 5-for-1 stock split, the market value of the stock after the split will be approximately
Nevada Corporation has 53,200 shares of $18 par stock outstanding that has a current market value...
Nevada Corporation has 53,200 shares of $18 par stock outstanding that has a current market value of $128. If the corporation issues a 5-for-1 stock split, the number of shares outstanding will be a.266,000 b.53,200 c.478,800 d.212,800
Sabas Company has 20,000 shares of $100 par, 2% cumulative preferred stock and 100,000 shares of...
Sabas Company has 20,000 shares of $100 par, 2% cumulative preferred stock and 100,000 shares of $50 par common stock. The following amounts were distributed as dividends: Year 1 $10,000 Year 2 45,000 Year 3 90,000 Determine the dividends per share for preferred and common stock for the first year. a.$0.50 and $0.10 b.$2.00 and $0 c.$0.50 and $0 d.$0 and $0.10 A corporation has 49,347 shares of $38 par stock outstanding that has a current market value of $350...
Nevada Corporation has 63,200 shares of $26 par stock outstanding that has a current market value...
Nevada Corporation has 63,200 shares of $26 par stock outstanding that has a current market value of $158. If the corporation issues a 5-for-1 stock split, the number of shares outstanding will be Oa 821,600 Ob. 316,000 Oc. 63,200 Od. 252,800 When Wisconsin Corporation was formed on January 1, the corporate charter provided for 98,000 shares of $10 par value common stock. During its first month of operation, the corporation issued 8,340 shares of stock at a price of $22...
On January 1, Vermont Corporation had 35,300 shares of $12 par value common stock issued and...
On January 1, Vermont Corporation had 35,300 shares of $12 par value common stock issued and outstanding. All 35,300 shares had been issued in a prior period at $22 per share. On February 1, Vermont purchased 1,140 shares of treasury stock for $25 per share and later sold the treasury shares for $20 per share on March 1. The journal entry to record the purchase of the treasury shares on February 1 would include a a.credit to Treasury Stock for...
2. A corporation has 40,000 shares of $25 par value stock outstanding. If the corporation issues...
2. A corporation has 40,000 shares of $25 par value stock outstanding. If the corporation issues a 4-for-1 stock split, the number of shares outstanding after the split will be A. 160,000 shares B. 40,000 shares C. 120,000 shares D. 10,000 shares
Outstanding Shares Willis & Company has 20 million shares of $1 par value common stock outstanding....
Outstanding Shares Willis & Company has 20 million shares of $1 par value common stock outstanding. The company believes that its current market price of $100 per share is too high and decides to execute a 4-for-1 forward stock split to lower the price. How many shares will be outstanding following the stock split? million What will be the new par value per share? $
Pearce & Company has 10 million shares of $2 par value common stock outstanding. The company...
Pearce & Company has 10 million shares of $2 par value common stock outstanding. The company believes that its current market price of $100 per share is too high and decides to execute a 4-for-1 forward stock split to lower the price. How many shares will be outstanding following the stock split, and what will be the new par value per share?
Nevada Corporation has 63,200 shares of $26 par stock outstanding that has a current market value of $158. If the corporation issues a 5-for-1 stock split, the number of shares outstanding will be Oa 821,600 Ob. 316,000 Oc. 63,200 Od. 252,800 When Wisconsin Corporation was formed on January 1, the corporate charter provided for 98,000 shares of $10 par value common stock. During its first month of operation, the corporation issued 8,340 shares of stock at a price of $22...
2. A corporation has 40,000 shares of $25 par value stock outstanding. If the corporation issues a 4-for-1 stock split, the number of shares outstanding after the split will be A. 160,000 shares B. 40,000 shares C. 120,000 shares D. 10,000 shares
Outstanding Shares Willis & Company has 20 million shares of $1 par value common stock outstanding. The company believes that its current market price of $100 per share is too high and decides to execute a 4-for-1 forward stock split to lower the price. How many shares will be outstanding following the stock split? million What will be the new par value per share? $
Most questions answered within 3 hours.
-
Where is the error in this code sequence?
String s1 = "Hello";
String s2 = "ello";...
asked 11 months ago -
Financial data for Joel de Paris, Inc., for last year
follow:
Joel de Paris, Inc.
Balance...
asked 11 months ago -
Consider this reaction:
Al2(SO4)3 (aq)+ BaCl3
(aq) Al2Cl6 (aq)- +
3BaSO4(s) . What is the...
asked 11 months ago -
Suppose that Savneet is considering increasing her
recent random sample from 20 car rentals to 40...
asked 11 months ago -
Trucks arrive at an unloading terminal at an average rate of 120
per hour.
Trucks arrive...
asked 11 months ago -
Why are methanol and ethanol completely soluble in water while
octanol is not very little soluble....
asked 11 months ago -
A facilities manager at a university reads in a research report
that the mean amount of...
asked 11 months ago -
When the CuSO4 is rehydrated by adding water to the anhydrous
compound, is this an endothermic...
asked 11 months ago -
A ray of sunlight is passing from diamond into crown glass; the
angle of incidence is...
asked 11 months ago -
A block of mass 0.249 kg is placed on top of a light, vertical
spring of...
asked 11 months ago -
how do the kidneys compensate in the presences of acidosis
a) trigger hyperventilate
b) reserve acid...
asked 11 months ago -
Question 501 pts
The rental rate of capital to the firm increases. Which of the
following...
asked 11 months ago