Question: A firm has declared a 1:5 stock split. If an investor owns 10,000 shares and the stock price is $10 what will be the investor's
A firm has declared a 1:5 stock split. If an investor owns 10,000 shares and the stock price is $10 what will be the investor's holding after the split? a. 50,000 shares at a price of $10 b. 2,000 shares at a price of $2 c. 50,000 shares at a price of $2 d. 2,000 shares at a price of $50 A firm has declared a 2:1 stock split. If an investor owns 1000 shares and the stock price is $100 what will be the investor's holding after the split? a. 500 shares at a price of $200 b. 500 shares at a price of $50 c. 2000 shares at a price of $100 d. 2000 shares at a price of $50 If a firm's stock price is $20 and the firm is expected to pay S1 in dividends over the next year, the dividend yield is: a. 4% b. 5% c. 7% d.6% If a firm's stock price is $40 and the firm is expected to pay quarterly dividends of $1 over the next year, the dividend yield is: a. 2.5% b. 5% c. 10% d. 7.5%
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