17-5A. (Stock dividend) RCB has 2 million shares of common stock outstanding. Net income ~ $550,000, and
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17-5A. (Stock dividend) RCB has 2 million shares of common stock outstanding. Net income ~
$550,000, and the PIE ratio for the stock is 10. Management is planning a 20 percent stockdivi dend. What will be the price of the stock after the stock dividend? Ifan investor owns 100 shares prior to the stock dividend, does the total value of his or her shares change? Explain.
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Related Book For
Financial Management Principles And Applications
ISBN: 9780131450653
10th Edition
Authors: Arthur J. Keown, J. William Petty, John D. Martin, Jr. Scott, David F.
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