Assume that you own 3,600 shares of $10 par value common stock and the company has a 4 for 1 stock split when the market price share is $68.00.
Assume that you own 3,600 shares of $10 par value common stock and the company has a 4 for 1 stock split when the market price share is $68.00.
Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter8: Basic Stock Valuation
Section: Chapter Questions
Problem 21MC
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Assume that you own 3,600 shares of $10 par value common stock and the company has a 4 for 1 stock split when the market price share is $68.00.
How many shares of common stock will you own after the stock split? What will probably happen to the market price per share of the stock? What will probably happen to the per value per share of the stock?
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