_____________________ is the best justification for a reverse stock split.
Multiple Choice
Improve the stock's respectability
Avoid delisting
Reduce transaction costs for shareholders
Improve the stock's liquidity
Increase the par value per share
Increase the par value per share is the best justification for a reverse stock split.
_____________________ is the best justification for a reverse stock split. Multiple Choice Improve the stock's respectability...
Which one of the following is probably the best argument in favor of a stock split? to lower the current stock price to its normal trading range to provide additional shares to all its shareholders to avoid delisting to increase the value of the firm
Grullon Co. is considering a 7-for-3 stock split. The current stock price is $75.00 per share, and the firm believes that its total market value would increase by 5% as a result of the improved liquidity that it thinks would follow the split. What is the stock's expected price following the split?
Which statement is true about a stock split? Multiple Choice A change in total stockholders' equity depends upon whether it is a 2-for-1 split or a 3-for-1 split. Total shareholders' equity decreases. Total shareholders' equity increases. Total shareholders' equity remains the same.
Toombs Media Corp. recently completed a 3-for-1 stock split. Prior to the split, its stock sold for $90 per share. The firm's total market value was unchanged by the split. Other things held constant, what is the best estimate of the stock's post-split price?
Which one of the following is correct concerning the effects of a reverse stock split? Select one: O a. The market price of the stock will decrease. b. The number of shares outstanding will increase. O c. The market value of the equity will remain constant. O d. The par value of the stock will increase. e. The balance in the common stock account will increase.
Wildcat Company is considering a 5-for-3 stock split. The current price is $57.00 per share, and Wildcat believes that its total market value would increase by 7.5% as a result of the improved liquidity that it thinks would follow the split. What is the stock's expected price following the split? O a) $35.44 Ob) $32.06 Oc) $39.07 O d) $37.21 O e) $36.77
Toombs Media Corp. recently completed a 3-for-1 stock split. Prior to the split, its stock sold for $120 per share. The firm's total market value was unchanged by the split. Other things held constant, what is the best estimate of the stock's post-split price? a. $20.00 b. $25.00 c. $30.00 d. $38.73 e. $40.00
Stocks that pay relatively large cash dividends on a regular basis are called: Multiple Choice Small capital stocks. Mid capital stocks. Growth stocks. Large capital stocks. Income stocks. The amount of annual cash dividends distributed to common shareholders relative to the common stock's market value is the: Multiple Choice Dividend payout ratio Dividend yield Price-earnings ratio. Current yield Earnings per share. Corporations may buy back their own stock for any of the following reasons except to: Multiple Choice Avoid a...
Which of the following is true? Multiple Choice A large stock dividend will reduce par The purchase of treasury stock decreases Total Stockholder's equity A large or small stock dividend reduces Total Stockholder's equity A stock split reduces Retained Earnings
MULTIPLE CHOICE: 1) The dollar amount reported as common stock on the balance sheet of a corporation that has common stock with par value is the number of shares: a) issued, multiplied by the amount received per share. b) outstanding, multiplied by the amount received per share. c) issued, multiplied by the par value per share. d) outstanding, multiplied by the par value per share.