For the company in Problem 2, show how the equity accounts will change if a Octagon declares a four for one stock split How many shares are outstanding now What is the new par value per share b Octagon declares a one for five reverse stock split How many shares are outstanding now What is the new p...

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For the company in Problem 2, show how the equity accounts will change if: a. Octagon declares

Question:

For the company in Problem 2, show how the equity accounts will change if:
a. Octagon declares a four-for-one stock split. How many shares are outstanding now? What is the new per share?
b. Octagon declares a one-for-five reverse stock split. How many shares are outstanding now? What is the new per share?
Par Value
Par value is the face value of a bond. Par value is important for a bond or fixed-income instrument because it determines its maturity value as well as the dollar value of coupon payments. The market price of a bond may be above or below par,...