The market value balance sheet for Desktop Manufacturing is shown here. The company has declared a 25 percent stock dividend. The stock goes ex dividend tomorrow (the chronology for a stock dividend is similar to that for a cash dividend). There are 19,000 shares of stock outstanding. What will the ex-dividend price be?

Transcribed Image Text:

Market Value Balance Sheet Cash $153,000 Debt $127,000 Fixed assets 603,000 Equity 629,000 Total $756,000 Total $756,000