Simmons Mineral Operations, Inc., (SMO) currently has 490,000 shares of stock outstanding that sell for $73 per

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Simmons Mineral Operations, Inc., (SMO) currently has 490,000 shares of stock outstanding that sell for $73 per share. Assuming no market imperfections or tax effects exist, what will the share price be after:

a. SMO has a five-for-three stock split?

b. SMO has a 15 percent stock dividend?

c. SMO has a 42.5 percent stock dividend?

d. SMO has a four-for-seven reverse stock split?

e. Determine the new number of shares outstanding in parts (a) through (d).

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Related Book For answer-question

Fundamentals of Corporate Finance

ISBN: 978-0077861704

11th edition

Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan

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Question Posted: Nov 21, 2016 08:26 AM

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Simmons Mineral Operations, Inc., (SMO) currently has 490,000 shares of stock outstanding that sell for $73 per

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Given data Shares outstanding 490000 Stock price 7300 a Stock split 5 for 3 ...View the full answer

Fundamentals of Corporate Finance

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