The market value balance sheet for Tidwell Manufacturing is shown here. The company has declared a 20

Question:

The market value balance sheet for Tidwell Manufacturing is shown here. The company has declared a 20 percent stock dividend. The stock goes ex dividend tomorrow (the chronology for a stock dividend is similar to that for a cash dividend). There are 24,000 shares of stock outstanding. What will the ex-dividend price be?

Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...