Shares in Raven Products are selling for $80 per share. There are 1 million shares outstanding. What

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Shares in Raven Products are selling for $80 per share. There are 1 million shares outstanding. What will be the share price in each of the following situations? Ignore taxes.

a. The stock splits five for four.

b. The company pays a 25% stock dividend.

c. The company repurchases 100,000 shares.

Shares in Raven Products are selling for $80 per share.

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Fundamentals of Corporate Finance

ISBN: 978-0078034640

7th edition

Authors: Richard Brealey, Stewart Myers, Alan Marcus

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Question Posted: Sep 27, 2016 10:44 AM

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Shares in Raven Products are selling for $80 per share. There are 1 million shares outstanding. What

Question:

$S0.0) Selling price Outstanding shares Stock splits Stock dividend Buy-back shares 100,000.00 1.00 milion 5 for 25.00% shares

Step by Step Answer:

Given data Selling price 8000 per share Outstandi...View the full answer

Fundamentals of Corporate Finance

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