Roll Corporation (RC) currently has 310,000 shares of stock outstanding that sell for $91 per share. Assuming

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Roll Corporation (RC) currently has 310,000 shares of stock outstanding that sell for $91 per share. Assuming no market imperfections or tax effects exist, what will the share price be after:
a. RC has a five-for-three stock split?
b. RC has a 15 percent stock dividend?
c. RC has a 42.5 percent stock dividend?
d. RC has a four-for-seven reverse stock split? 

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

Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...
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Corporate Finance Core Principles and Applications

ISBN: 978-1259289903

5th edition

Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe, Bradford Jordan

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