Robinson's has 42,000 shares of stock outstanding with a par value of $1 per share and a market price of $44 a share. The balance sheet shows $42,000 in the common stock account, $495,000 in the paid in surplus account, and $490,000 in the retained earnings account. The firm just announced a 3-for-2 stock split. How many shares of stock will be outstanding after the split?Multiple Choice35,000 shares84,000 shares62,500 shares28,000 shares63,000 shares

Question Content Area A corporation has 50,000 shares of $25 par stock outstanding. If the corporation issues a 3-for-1 stock split, the number of shares outstanding after the split will be a. 50,000 shares b. 16,666 shares c. 100,000 shares d. 150,000 shares

Pettygrove Company had 600,000 shares of $10 par value common stock outstanding. The amount of additional paid-in capital is $3,000,000, and Retained Earnings is $900,000. The company issues a 2-for-1 stock split. The market price of the stock is $26. What is the balance in the Common Stock account after this issuance?Multiple Choice$12,000,000$13,800,000$6,000,000$9,000,000

Twin Towns, Incorporated, was authorized to issue 300,000 shares of common stock and originally issued 100,000 shares of $10 par value stock at $18 per share. Subsequently, 25,000 shares were repurchased at $20, of which 10,000 were subsequently resold at $23.Assume the company’s retained earnings balance is $120,000.Required:Prepare the stockholders’ equity section of Twin Towns’s balance sheet, including all appropriate disclosures.Briefly explain how the declaration and distribution of a 2-for-1 stock split subsequent to the above transactions would affect the stockholders’ equity section you have prepared.

1. Question 1 In 20x0, Chitchat Ltd issued 1M shares @$1/- per share in its IPO. In a subsequent issue in 20x1 it sold 1M shares @$2/- per share. In 20x2 it issued a fully subscribed and paid 1-for-1 rights issue @$3/- per share. In 20x3, it splitthe outstanding shares into 2-for-1 shares. What is the share capital and number of shares issued after the share split? Choose one of the following answers. 8M shares & $4.5M in share capital 4M shares & $9M in share capital 8M shares & $9M in share capital 8M shares & $8M in share capital

A company has just announced a 3-for-1 stock split, effective immediately. Prior to thesplit, the company had a market value of $5 billion with 100 million shares outstanding.Assuming the split conveys no new information about the company, what are the value ofthe company, the number of shares outstanding, and the price per share after the split? Ifthe actual market price immediately following the split is $17.00 per share, what does thistell us about market efficiency?