17-7B. (Stock split) You own 8 percent of the Standlee Corporation's common stock, which most recendy sold for $98 before a planned two-for-one stock split announcement. Before the split mere are 30,000 shares of common stock outstanding.

a.ı Relative to now, what will be your financial position after the stock split? (Assume the stock price falls proportionately.)

b.ı The executive vice-president in charge of finance believes the price will only fall 45 percent after the split because she thinks the price is above the optimal price range. Ifshe is correct, what will be your net gain?