On January 15, 2020, the board of directors of Miz Corporation voted to consolidate its outstanding common shares on the basis of one post-consolidation common share for every 20 pre-consolidation common shares (that is, a one-for-twenty reverse stock split). Miz Corporation common shares had a market price on January 15, 2020, of $0.50 per share. The shareholders' equity section of the statement of financial position of Miz Corporation at December 31, 2019, is given below: Shareholders' equity: Common shares, unlimited authorized, 10,850,000 shares issued and outstanding $54,250,000 Retained earnings (deficit) (5,020,000) Total shareholders' equity $49,230,000
On January 15, 2020, the board of directors of Miz Corporation voted to consolidate its outstanding common shares on the basis of one post-consolidation common share for every 20 pre-consolidation common shares (that is, a one-for-twenty reverse stock split). Miz Corporation common shares had a market price on January 15, 2020, of $0.50 per share. The shareholders' equity section of the statement of financial position of Miz Corporation at December 31, 2019, is given below: Shareholders' equity: Common shares, unlimited authorized, 10,850,000 shares issued and outstanding $54,250,000 Retained earnings (deficit) (5,020,000) Total shareholders' equity $49,230,000
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter16: Retained Earnings And Earnings Per Share
Section: Chapter Questions
Problem 4MC: Effective May 1, the shareholders of Baltimore Corporation approved a 2-for-1 split of the companys...
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