City Center Pharmacy has 24,500 shares of stock outstanding with a par value of $1 per share and a market value of $18.90 a share. The company just announced a reverse stock split of three-for-five. What will be the market value per share after the reverse stock split?
City Center Pharmacy has 24,500 shares of stock outstanding with a par value of $1 per share and a market value of $18.90 a share. The company just announced a reverse stock split of three-for-five. What will be the market value per share after the reverse stock split?
Chapter15: Dividend Policy
Section: Chapter Questions
Problem 11P
Related questions
Question
City Center Pharmacy has 24,500 shares of stock outstanding with a par value of $1 per share and a market value of $18.90 a share. The company just announced a reverse stock split of three-for-five. What will be the market value per share after the reverse stock split?
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.Recommended textbooks for you
EBK CONTEMPORARY FINANCIAL MANAGEMENT
Finance
ISBN:
9781337514835
Author:
MOYER
Publisher:
CENGAGE LEARNING - CONSIGNMENT
EBK CONTEMPORARY FINANCIAL MANAGEMENT
Finance
ISBN:
9781337514835
Author:
MOYER
Publisher:
CENGAGE LEARNING - CONSIGNMENT