Question: What effect will a one - for - four stock split have on the following items found on a firm's financial statements? Earnings per share

What effect will a one-for-four stock split have on the following items found on a firm's financial statements?
Earnings per share $5.12. Round your answer to the nearest cent.
Initial amount New amount Effect
$5.12 $
-Select-
Total equity $10,000,000. Round your answer to the nearest dollar.
Initial amount New amount Effect
$10,000,000 $
-Select-
Long-term debt $4,200,000. Round your answer to the nearest dollar.
Initial amount New amount Effect
$4,200,000 $
-Select-
Additional paid-in capital $1,683,000. Round your answer to the nearest dollar.
Initial amount New amount Effect
$1,683,000 $
-Select-
Number of shares outstanding 800,000. Round your answer to the nearest whole number.
Initial amount New amount Effect
800,000
-Select-
Earnings $4,100,000. Round your answer to the nearest dollar.
Initial amount New amount Effect
$4,100,000 $
-Select-

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!