If the company now splits its stock


The stockholders' equity section of the balance sheet of the XYZ Corp. is as follows:

Common Stock ($6 par) $24,000,000

Retained Earnings $125,000,000

Total $149,000,000

If the company now splits its stock 3-for-1, which of the following is correct? A. The par value per share will remain at $6. B. The market price per share will probably remain unchanged. C. The book value per share will decline to $17.60. D. The par value per share will decline to $2.00.

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Financial Management: If the company now splits its stock
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