The primary purpose of a stock split is to: Select one:reduce the market price of the stock per share.increase the market price of the stock per...
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The primary purpose of a stock split is to:

Select one:

a. reduce the market price of the stock per

share.

b. increase the market price of the stock per share.

c. increase retained earnings.

d. increase paid-in capital.


Vivi Corporation had net income of $401,000 in 2015. The company's Common Stock account balance all year long was $267,000 ($10 par stock). The market price per share as of December 31, 2015, was $33.50. Calculate the price-earnings ratio for 2015.

Select one:

a. 2.23

b. 33.5

c. 0.44

d. 22.3


On January 1, a shareholder purchased 81 shares of stock in Beta company for $115 per share. On August 20, the company paid an $8 dividend per share. On December 31, the shareholder sold all the shares for $113 per share. What is the overall Economic Rate of Return for this investment?

Select one:

a. 6.96%

b. 8.70%

c. 5.31%

d. 5.22%


Emerald Co. has 50,000 shares at $12 par common stock outstanding. If the company decides to declare a 2-to-1 stock split, the total stockholders' equity will:

Select one:

a. increase by $300,000

b. increase by $600,000

c. not change

d. decrease by $50,000

Top Answer

Answer 1) a.reduce the market price of... View the full answer

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