XYZ Company has 30,000 shares of $3 par common stock outstanding, which are currently trading at $150 per share. If the company declares a 2-for-1 stock split, what is the new number of shares outstanding and the new market price?
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XYZ Company has 30,000 shares of $3 par common stock outstanding, which are currently trading at $150 per share. If the company declares a 2-for-1 stock split, what is the new number of shares outstanding and the new market price?
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- XYZ Company has 30,000 shares of $3 par common stock outstanding, which are trading at $150 per share. If the company declares a 3-for-1 stock split, what is the new number of shares outstanding and the new market price?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?SoFi Technologies Inc. (SOFI) currently has 13 million shares of common stock outstanding and is selling for $215 a share. The company is planning to conduct a 5-for-1 stock split. If SOFI declares a 5-for-1 stock split, what will the price of the company’s stock be after the split—assuming that the total value of the firm’s stock remains the same before and after the split? How many shares of SOFI will be outstanding? Now imagine of instead of performing a stock split, SOFI decides to pay a stock dividend. If SOFI declares a 5.5% stock dividend, how many shares will the firm issue to existing shareholders? Now, in lieu of conducting a stock split or declaring a stock dividend, SOFI decides to buyback 1,500,000 shares of stock at market price. How much cash will it take to perform this buyback? Using the same information as Question #4, if SOFI performs the buyback, what should the new market share price be assuming the total value of the company hasn't changed? Round answer to…
- The common stock of High Energy is selling for $58 a share. Currently, the firm has a total market value of $1,314,900 and a book value of $647,600. How many shares of stock will be outstanding if the firm does a stock split of five-for-two?Suppose that you own 3,400 shares of Nocash Corp. and the company is about to pay a 25% stock dividend. The stock currently sells at $125 per share. a. What will be the number of shares that you hold after the stock dividend is paid? (Do not round intermediate calculations.) Number of shares b. What will be the total value of your equity position after the stock dividend is paid? (Do not round intermediate calculations.) Total value c. What will be the number of shares that you hold if the firm splits five-for-four instead of paying the stock dividend? (Do not round intermediate calculations.) Number of shares heldSuppose that you own 1,800 shares of Nocash Corp. and the company is about to pay a 25% stock dividend. The stock currently sells at $115 per share. a. What will be the number of shares that you hold after the stock dividend is paid? (Do not round intermediate calculations.) b. What will be the total value of your equity position after the stock dividend is paid? (Do not round intermediate calculations.) c. What will be the number of shares that you hold if the firm splits five-for-four instead of paying the stock dividend?
- Assume that you own 2,100 shares of $6 par value common stock and the company has a 3-for-1 stock split when the market price per share is $72. What will probably happen to the market price per share of the stock and the par value per share of the stock? Multiple Choice A. Market price per share will be about $216 per share, and par value will be $2 per share B. Market price per share will be about $216 per share, and par value will be $18 per share C. Market price per share will be about $24 per share, and par value will be $2 per share D. Market price per share will be about $24 per share, and par value will be $18 per shareB. Blackwell Limited issued 8,500,000 shares of stock. Currently, the shares are being traded at a market price of $10 per share. If all else remains constant: a) i. What will be the price of Blackwell's shares after a 10% stock dividend? ii. What will be the new number of shares outstanding? b) i. What will be the price of Blackwell's shares after a 3 for 1 stock split? [ ii. What will be the new number of shares outstanding? c) Explain what is a stock dividend, and how is it similar to a stock split.Stock is currently selling for $100. What will be the impact on the stock’s price if the company: (a) pays a $2.35 cash dividend, (b) splits the stock four for one, (c) splits the stock one for two, and (d) distributes a 10 percent stock dividend?
- A company's stock currently trades at P15 per share. The company is going to undertake a 3-2 stock split. The stock price after the stock split took place would be PDartmouth Discount Marketing Corporation (DDM) currently has 4,000,000 shares outstanding. The market price is $80. What will the new number of shares and share price be after: a. DDM has a 4 for 1 stock split? b. DDM has a 15% stock dividend?South Shore Limited has 14,500 shares of stock outstanding with a par value of $1 per share and a market price of $54.10 a share. The firm just announced a stock split of seven-for-two. What will be the par value of the stock after the split?