Marston Mfg recently declared a 4 for 1 split for its common shares. Before the split the firm's share price had risen to $600 per share and the firm's CFO felt that this high stock price inhibited trading in the firm's shares. Prior to the split the firm had 8 million shares of stockoutstanding and had net income of $36million.

A. Before the stock split what was is Marston's earnings per share? Round 4 decimal places. 

B) Following the stock split, how many shares of common stock will Marston have outstanding? _______million shares, round to the nearest whole number. 

C) What are the firms earnings per share after the stock split? Round to 4 decimal places.
D) If you owned 100 shares of stock before the split, how much are the total earnings for your shares? Round to the nearest dollar. 

E) How much are the total earnings on your post split shares? 

F) Were you better off financially as the holder of 100 shares of pre split stock after the 4 for 1 split?

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a. Before the stock split what is Marston's earnings per share? $(Round to four decimal places.) b. Following the stock split, how many shares of common stock will Marston have outstanding? million shares (Round to the nearest whole number.) c. What are the firm's earnings per share after the stock split? (Round to four decimal places.) d. If you owned 100 shares of stock before the split, how much are the total earnings for your shares? (Round to the nearest dollar.) How much are the total earnings on your post-split shares? (Round to the nearest dollar.) e. Were you better off financially as the holder of 100 shares of pre-split stock after the 4-for-1 split? (Select from the drop-down menu.) a. Before the stock split what is Marston's earnings per share? $(Round to four decimal places.) b. Following the stock split, how many shares of common stock will Marston have outstanding? million shares (Round to the nearest whole number.) c. What are the firm's earnings per share after the stock split? (Round to four decimal places.) d. If you owned 100 shares of stock before the split, how much are the total earnings for your shares? (Round to the nearest dollar.) How much are the total earnings on your post-split shares? (Round to the nearest dollar.) e. Were you better off financially as the holder of 100 shares of pre-split stock after the 4-for-1 split? (Select from the drop-down menu.)

Answer rating: 100% (QA)

a Before the stock split Marstons Earnings per share Net income Number of shares 40m10m 4 ... View the full answer