what is the new number of shares outstanding and the new market price?
Q: The stockholders' equity section of the balance sheet of the XYZ Corp. is as follows:…
A: Given, Common Stock (Before stock Split ) = $ 24,000,000 Par Value = $ 6
Q: Jinay Company declares a 50% large stock dividend when there were 5.4 million common shares…
A:
Q: COVID's apparel has total assets of P800,000, current liabilities of P150,000, and long-term…
A: There are two types of stock which are issued by a firm. One is the preference stock and other is…
Q: West Wind, Inc. has 5,300,000 shares of common stock outstanding with a market value of $80 per…
A: When a company feels that its stock is trading at high price because of which investors are not…
Q: Marcos Company, which had 35,000 shares of common stock outstanding, declared a 4-for-1 stock split.…
A: A stock split refers splitting or dividing a single stock into multiple stocks. The face value and…
Q: Bruno's has 13,000 shares of stock outstanding with a par value of $1 per share and a market value…
A: It is given that No of shares – 13000 Par value - $1 Market value -$38.29 capital in excess of par…
Q: Bramble Corporation has 31,000 shares of $10 par value common stock outstanding when it announces a…
A: Market price per share after split = Total market value before stock split x 1/ split ratio
Q: The owner equity accounts for Masterson International are shown here Common stock (of $1 par…
A: Working: Original Shares Outstanding = Value of Common Stock / Par Value per share = $45,000 / $1.00…
Q: OMG Inc. has 5 million shares of common stock outstanding, 4 million shares of preferred stock…
A: Debt is the obligation for the company reported in the balance sheet of the company.
Q: After the spoilt, what is the pae value of the share?
A: Reverse Stock Split: A reverse stock split occurs when a company decides to replace or exchange some…
Q: Albany Motors recently completed a 3-for-1 stock split. Prior to the split, the company had 10…
A: Stock split refers to the split of existing shares into more number of shares in the proportion as…
Q: Reading Co. has outstanding 10,000 shares of $100 par value cumulative preferred stock, with a…
A: Annual Dividends to Preferred Shareholders = (10,000 shares*$100 per share)*7% Annual Dividends to…
Q: Simmons Mineral Operations, Inc., (SMO) currently has 430,000 shares of stock outstanding that sell…
A: Given:
Q: Mill Creek Corporation (MCC) currently has 435,000 shares of stock outstanding that sell for $60 per…
A: Outstanding shares : 435,000 shares Selling price per share : $60 per share No tax effects exist in…
Q: The owners’ equity accounts for Masterson International are shown here: Common stock ($1 par…
A: Outstanding shares are the stock that the shareholders of a company hold in the open market. As…
Q: Fabric Outlet has 17,500 shares of stock outstanding with a par value of $1 per share. The current…
A: By splitting the stock, the market value per share will reduced because number of shares will…
Q: Wookie Inc. has the following shareholders equity information at the beginning of the year: 1000…
A: Given: 1,000 shares-$5 par value, issued and outstanding $ 5,000 Stock Split 2:1…
Q: Robinson's has 46,000 shares of stock outstanding with a par value of $1 per share and a market…
A: The firm announces the stock split of 2-for-1.
Q: the owners’ equity accounts for Quadrangle International are shown here: Common stock ($1 par…
A: The share price is the current market price of the share. It is the price of the share at any…
Q: The firm has one million shares outstanding and earnings of $6 million before recording the new…
A: Formula :- Earnings per share (EPS) is calculated as a company's profit divided by the outstanding…
Q: Thousand Islands Resorts has 1,750,000 shares of authorized common stock, each having a $1 par…
A: Honor code: Since you have posted a question with multiple sub-parts, we will solve the first three…
Q: Maxwell Corp. is coming to the market with a new offering of 450,000 shares of stock at $22 to the…
A: Diluted EPS :- Diluted Earning per share, additionally called Diluted EPS, is a profit estimation…
Q: Wheat's Market just issued 17,500 new shares of common stock at a price of $20 a share. The share…
A: Given No. of shares = 17,500 Stock Price = $20
Q: Manego Company has retained earnings of $600,000, common stock of $700,000, and total common…
A: Common stock: These are the shares issued by a company to an outsider. These shares entitle a share…
Q: The company with the common equity acounts shown here has declared a 15 percent stock dividend when…
A: Par value will get reduced as follows:
Q: What are the dividends per share for preferred and common, respectively?
A: Dividend refers to that portion of the net income of the company which the company paid to its…
Q: Covid Contractors has 500,000 shares of common stock outstanding, 200,000 shares of preferred stock…
A:
Q: Alpha Metals Product has 300,000 common shares outstanding, which were sold for an average price of…
A: After stock split number of shares increase but value remained same only there is increase in…
Q: What weight should you use for preferred stock
A: Weighted Average Cost of Capital is the cost a company pays for its employed capital. It is the…
Q: Simmons Mineral Operations, Inc., (SMO) currently has 490,000 shares of stock outstanding that sell…
A: A stock split is a strategy in which the stocks are split in various forms in order to change the…
Q: West Wind Inc. has 5,000,000 shares of common stock outstanding with market value of $60 per share.…
A: Share outstanding =5,000,000 Market value per share = 60 Net income =6,900,000 Stock split =3 for 1…
Q: The company with the common equity accounts shown here has decided on a two-for-one stock split. The…
A: Par value refers to the value of a share or a security that is determined by the corporate charter.
Q: On October 1, Hawking Corp. had 40,000 shares of $2 par value common stock outstanding before it…
A: Stock split means where company decided to increase the number of share and decrease the par value…
Q: The current stockholders' equity account for Hilo Farms is as follows: $ 210,000 Common stock…
A: Stock dividend is a dividend payable in number of shares not in cash. It shall be at par. We need to…
Q: t $12 par common stock outstanding. If the company decides to buy 20% of its shares for $15 per…
A: The total shareholders equity is the s outstanding share multiply by the price of the share . when…
Q: South Shore Limited has 14,500 shares of stock outstanding with a par value of $1 per share and a…
A: Stock Split When a company divides its existing shares into the new multiple shares then this…
Q: how will the total dividend be divided between the common and preferred stock? a) Preferred…
A: Dividend: Dividend can be defined as the portion of profit that is distributed to the shareholders…
Q: Marcos Company, which had 35,000 shares of common stock outstanding, declared a 4-for-1 stock split.…
A: The split of shares: under this system, the whole share amount is to be the same as before but the…
Q: National Co. recently completed a 3-for-1 stock split. Prior to the split, the company had 10…
A: A 3 for 1 stock split means that every share is converted into 3 shares. This increases the number…
Q: The Peace River Corporation has 52,000 shares of stock outstanding at a market price of $41 a share.…
A: Stock split means dividing the existing number of shares into a greater number of shares. When a…
Q: National Company has 100,000 shares outstanding and just declared a 2-for-1 stock split. Before the…
A: This is a case of stock split. Hereby the shares already outstanding are split into 2 or more…
Q: ABC Corp. issued new shares with a par value of P1,000, issue price of P1,200 and net proceeds of…
A: Cost of equity is the cost of financing with the common stock or retained earnings. It is the…
Q: Emerald Co. has 50,000 shares at $12 par common stock outstanding. If the company decides to buy 20%…
A: The shares which are repurchased by the company or the issuer of the shares is termed as the…
Q: Men's Place has 21,000 shares of stock outstanding with a par value of $1 per share and a market…
A: Market capitalization = Shares outstanding x Market value per share = 21,000 x 27.18…
Q: The stockholders’ equity account for Paper Manufacturers is shown below. The firm’s common stock has…
A: Firms pay stock dividends as a replacement for or a supplement to cash dividends. In a stock…
Q: hen Harry Old's Corporation announces a 4-for-1 split down/reverse, it has 500,000 common stocks…
A: Solution Concept 4 for 1 stock split means that one share is split into 4 shares For example if a…
Q: Calman Industries has 5 million shares outstanding at present with each share currently trading at…
A: Number of shares outstanding = 5,000,000 5 for 2 stock split Price per share = 40
Q: Gamma Industries has net income of $3,800,000, and it has1,490,000 shares of common stock…
A: Given information: Net income is $3,800,000 Number of shares outstanding are 1,490,000 Current stock…
XYZ Company has 30,000 shares of $3 par common stock outstanding, which are currently trading at $150 per share. If the company declares a 3-for-1 stock split, what is the new number of shares outstanding and the new market price?
Shares outstanding after stock split |
|
Market price after stock split |
|
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Nutritious Pet Food Companys board of directors declares a 2-for-1 stock split on June 30 when the stocks market value per share is $30. At that time, there are 10,000 shares of $1 par value common stock outstanding (none held in treasury). What is the new par value of the shares and how many shares are outstanding after the split?Alert Companys shareholders equity prior to any of the following events is as follows: The company is considering the following alternative items: 1. An 8% stock dividend on the common stock when it is selling for 30 per share. 2. A 30% stock dividend on the common stock when it is selling for 32 per share. 3. A special stock dividend to common shareholders consisting of 1 share of preferred stock for every 100 shares of common stock. The preferred stock and common stock are selling for 123 and 31 per share, respectively. 4. A 2-for-1 stock split on the common stock, reducing the par value to 5 per share (assume the same date for declaration and issuance). The market price is 30 per share on the common stock. 5. A property dividend to common shareholders consisting of 100 bonds issued by West Company. These bonds are carried on the Alert Company books as an available-for sale investment at a fair value of 48,000 (which is also its cost); it has a current value of 54,000. 6. A cash dividend, consisting of a normal dividend and a liquidating dividend, on both the preferred and the common stock. The 10% preferred dividend includes a 2% liquidating dividend, and the 2.30 per share common dividend includes a 0.30 per share liquidating dividend (separate liquidating dividend contra accounts should be used). Required: For each of the preceding alternative items: 1. Record (a) the journal entry at the date of declaration and (b) the journal entry at the date of issuance. 2. Compute the balances in the shareholders equity accounts immediately after the issuance (any gains or losses are to be reflected in the retained earnings balance; ignore income taxes).Outstanding Stock Lars Corporation shows the following information in the stockholders equity section of its balance sheet: The par value of common stock is S5, and the total balance in the Common Stock account is $225,000. There are 13,000 shares of treasury stock. Required: What is the number of shares outstanding? Use the following information for Exercises 10-58 and 10-59: Stahl Company was incorporated as a new business on January 1, 2019. The company is authorized to issue 600,000 shares of $2 par value common stock and 80,000 shares of 6%, S20 par value, cumulative preferred stock. On January 1, 2019, the company issued 75,000 shares of common stock for $15 per share and 5,000 shares of preferred stock for $25 per share. Net income for the year ended December 31, 2019, was $500,000.
- Aggregate Mining Corporation was incorporated five years ago. It is authorized to issue 500,000 shares of $100 par value 8% cumulative preferred stock. It is also authorized to issue 750,000 shares of $6 par value common stock. It has issued 50,000 of the common shares and 1,000 of the cumulative preferred shares. The corporation has never declared a dividend and the preferred shares are one years in arrears. Aggregate Mining has the following transactions this year: Journalize these transactions. For the stock split, show the calculation for how many shares are outstanding after the split and the par value per share after the splitAccording to a company press release, on January 5, 2012, Hansen Natural Corporation changed its name to Monster Beverage Corporation. According to Yahoo Finance, on that day the value of the company stock (symbol: MNST) was $15.64 per share. On January 5, 2018, the stock closed at $63.49 per share. This represents an increase of nearly 306%. A. Discuss the factors that might influence the increase in share price. B. Consider yourself as a potential shareholder. What factors would you consider when deciding whether or not to purchase shares in Monster Beverage Corporation today?Nutritious Pet Food Companys board of directors declares a large stock dividend (50%) on June 30 when the stocks market value per share is $30. At that time, there are 10,000 shares of $1 par value common stock outstanding (none held in treasury). What is the journal entry to record the stock dividend distribution on July 31?
- Nutritious Pet Food Companys board of directors declares a large stock dividend (50%) on June 30 when the stocks market value per share is $30. At that time, there are 10,000 shares of $1 par value common stock outstanding (none held in treasury). What is the journal entry to record the declaration of the dividend?Nutritious Pet Food Companys board of directors declares a small stock dividend (20%) on June 30 when the stocks market value per share is $30. At that time, there are 10,000 shares of $1 par value common stock outstanding (none held in treasury). What is the journal entry to record the stock dividend distribution on July 31?Nutritious Pet Food Companys board of directors declares a small stock dividend (20%) on June 30 when the stocks market value per share is $30. At that time, there are 10,000 shares of $1 par value common stock outstanding (none held in treasury). What is the journal entry to record the declaration of the dividend?
- Stock Split Suppose you own 2,000 common shares of Laurence Incorporated. The EPS is $10.00, the DPS is $3.00, and the stock sells for $80 per share. Laurence announces a 2-for-1 split. Immediately after the split, how many shares will you have, what will the adjusted EPS and DPS be, and what would you expect the stock price to be?Chen Corporation began 2012 with the following stockholders equity balances: The following selected transactions and events occurred during the year: a. Issued 10,000 shares of common stock for 60,000. b. Purchased 1,200 shares of treasury stock for 4,800. c. Sold 2,000 shares of treasury stock for 11,000. d. Generated net income of 94,000. e. Declared and paid the full years dividend on preferred stock and a dividend of 1.00 per share on common stock outstanding at the end of the year. Chen Corporation maintains several paid-in capital accounts (Paid-in Capital in Excess of Par, Paid-in Capital from Treasury Stock, etc.) in its ledger, but combines them all as Additional paid-in capital when preparing financial statements. Open the file STOCKEQ from the website for this book at cengagebrain.com. Enter the formulas in the appropriate cells on the worksheet. Then fill in the columns to show the effect of each of the selected transactions and events listed earlier. Enter your name in cell A1. Save the completed worksheet as STOCKEQ2. Print the worksheet. Also print your formulas. Check figure: Total stockholders equity balance at 12/31/12 (cell G21). 398,800.Chen Corporation began 2012 with the following stockholders equity balances: The following selected transactions and events occurred during the year: a. Issued 10,000 shares of common stock for 60,000. b. Purchased 1,200 shares of treasury stock for 4,800. c. Sold 2,000 shares of treasury stock for 11,000. d. Generated net income of 94,000. e. Declared and paid the full years dividend on preferred stock and a dividend of 1.00 per share on common stock outstanding at the end of the year. Chen Corporation maintains several paid-in capital accounts (Paid-in Capital in Excess of Par, Paid-in Capital from Treasury Stock, etc.) in its ledger, but combines them all as Additional paid-in capital when preparing financial statements. In the space provided below, prepare the stockholders equity section of Chen Corporations balance sheet as of December 31, 2012. Use proper headings and provide full disclosure of all appropriate information. Chens corporate charter authorizes the issuance of 1,000 shares of preferred stock and 100,000 shares of common stock.