7 million shares of ordinary stock with a $2 par value are currently in circulation. The corporation plans to do a 4-for-1 forward stock split to reduce the price since it thinks its current market price of $200 per share is excessive. Following the stock split, how many shares (in millions) will be in circulation, and what will the new par value be for each share? share count Low value Answer million Response per

7 million shares of ordinary stock with a $2 par value are currently in circulation. The corporation plans to do a 4-for-1 forward stock split to reduce the price since it thinks its current market price of $200 per share is excessive. Following the stock split, how many shares (in millions) will be in circulation, and what will the new par value be for each share? share count Low value Answer million Response per

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter26: Mergers And Corporate Control

Section: Chapter Questions

Problem 7MC

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