When Walt Disney Co. declared a 4:1 split of its common stock, the announcement boosted the entertainment
Question:
When Walt Disney Co. declared a 4:1 split of its common stock, the announcement boosted the entertainment company's shares up by $3.50 per share.
INSTRUCTIONS:
a. What is a 4:1 stock split, and how did it affect the financial statements of Walt Disney Co.?
b. Why should the market value of Disney's stock rise?
c. The Wall Street Journal once reported that the stock split was "a psychological boost and an indication that management has confidence in their performance and that the stock price can be sustained."
Explain how this explanation could account for the stock price increase.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
When Walt Disney Co declared a 41 split of its common stock the announcement boosted the entertainment companys shares up by 350 per share INSTRUCTIONS What is a 41 stock split and how did it affect t...View the full answer
Answered By
Labindao Antoque
I graduated in 2018 with a Bachelor of Science degree in Psychology from Dalubhasaan ng Lungsod ng San Pablo. I tutored students in classes and out of classes. I use a variety of strategies to tutor students that include: lecture, discussions about the subject matter, problem solving examples using the principles of the subject matter being discussed in class , homework assignments that are directed towards reinforcing what we learn in class , and detailed practice problems help students to master a concept. I also do thorough research on Internet resources or textbooks so that I know what students need to learn in order to master what is being taught in class .
0 Reviews
10+ Question Solved
Related Book For 
Question Posted:
