raded Assignment Read Chapter 14 Back to Assignment Due Thursday 08.02.18 at 11:45 Attempts: 4. Stock dividends and stock splits Companies sometimes consider stock splits to bring down the price so that the stock attracts more purchases Keep the Highest: 12 Aa Aa Consider the following case: Tolbotics Inc. currently has 20,000 shares of common stock outstanding. Its management believes that its current stock price of $100 per share is too high. The company is planning to conduct stock splits in the ratio of 4 for 1 as described in the animation. Eextificate of s 12 If Tolbotics Inc. declares a 4-for-1 stock split, what will be the price of the company's stock after the split, assuming that the total value of the firm's stock remains the same after the split? Scorecard Athletics Corp, is one of Tolbotics's leading competitors. Scorecard Athletics Corp.'s market intelligence research team shares Tolbotics's plans of announcing a stock split, influencing the distribution policy makers. Consequently executives at Scorecard decide to offer stock dividends to its shareholders. If the firm pays a 6% stock dividend, how many shares will the firm issue to its existing shareholders? O 66,000 shares O 62,700 shares O 69,300 shares O 46,200 shares A stock dividend is another way of keeping the stock price from going too high. Scorecard currently has 1,100,000 shares of common stock outstanding Flash Player WIN 30,0,0,134 Save & Con 2004-2016 Apla All rights ? 2013 loyage Laring eacept at noted Ar rights reserved