Question

The balance sheet for Fourth Corp. is shown here in market value terms. There are 5,000 shares of stock outstanding.

  

Market Value Balance Sheet
Cash	$	44,700		Equity	$	454,700
Fixed assets		410,000
Total	$	454,700		Total	$	454,700

  

The company has declared a dividend of $1.60 per share. The stock goes ex-dividend tomorrow.

Ignoring any tax effects, what is the stock selling for today? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Ignoring any tax effects, what will it sell for tomorrow? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Answer 1

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