On January 15, 2020, the board of directors of Miz Corporation voted to consolidate its outstanding common shares on the basis of one post-consolidation common share for every 20 pre-consolidation common shares (that is, a one-for-twenty reverse stock split). Miz Corporation common shares had a market price on January 15, 2020, of $0.50 per share. The shareholders' equity section of the statement of financial position of Miz Corporation at December 31, 2019, is given below: Shareholders'equity: Common shares, unlimited authorized, 10,850,000 shares issued and outstanding $54,250,000 Retained earnings (deficit) (5,020,000) Total shareholders' equity $49,230,000

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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On January 15, 2020, the board of directors of Miz Corporation voted to consolidate its outstanding common shares on the basis of
one post-consolidation common share for every 20 pre-consolidation common shares (that is, a one-for-twenty reverse stock split).
Miz Corporation common shares had a market price on January 15, 2020, of $0.50 per share. The shareholders' equity section of
the statement of financial position of Miz Corporation at December 31, 2019, is given below:
Shareholders' equity:
Common shares, unlimited authorized, 10,850,000 shares
issued and outstanding
$54,250,000
Retained earnings (deficit)
(5,020,000)
Total shareholders' equity
$49,230,000
(a)
Your answer is correct.
Determine the number of shares that are outstanding after the consolidation.
542500
Number of shares outstanding after consolidation
eTextbook and Media
Transcribed Image Text:now Attempt History Current Attempt in Progress On January 15, 2020, the board of directors of Miz Corporation voted to consolidate its outstanding common shares on the basis of one post-consolidation common share for every 20 pre-consolidation common shares (that is, a one-for-twenty reverse stock split). Miz Corporation common shares had a market price on January 15, 2020, of $0.50 per share. The shareholders' equity section of the statement of financial position of Miz Corporation at December 31, 2019, is given below: Shareholders' equity: Common shares, unlimited authorized, 10,850,000 shares issued and outstanding $54,250,000 Retained earnings (deficit) (5,020,000) Total shareholders' equity $49,230,000 (a) Your answer is correct. Determine the number of shares that are outstanding after the consolidation. 542500 Number of shares outstanding after consolidation eTextbook and Media
(b)
What would be the expected market price for the shares after the consolidation?
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Expected market price
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(d)
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Transcribed Image Text:(b) What would be the expected market price for the shares after the consolidation? 24 Expected market price eTextbook and Media List of Accounts Save for Later (c) The parts of this question must be completed in order. This part will be available when yor (d) The parts of this question must be completed in order. This part will be available when you APR 14
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