Outstanding Shares Pearce & Company has 4 million shares of $4 par value common stock outstanding. The company believes that its current market price of $150 per share is too high and decides to execute a 4-for-1 forward stock split to lower the price. How many shares (in millions) will be outstanding following the stock split, and what will be the new par value per share? # of shares Par value million per share

Outstanding Shares Pearce & Company has 4 million shares of $4 par value common stock outstanding. The company believes that its current market price of $150 per share is too high and decides to execute a 4-for-1 forward stock split to lower the price. How many shares (in millions) will be outstanding following the stock split, and what will be the new par value per share? # of shares Par value million per share

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter15: Distributions To Shareholders: Dividends And Repurchases

Section: Chapter Questions

Problem 7P: Stock Split Suppose you own 2,000 common shares of Laurence Incorporated. The EPS is $10.00, the DPS...

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# of shares		Par value
	million		per share

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