8. Stock dividends and stock splits Aa Aa Consider the following case: Tolbotics Inc. currently has 30,000 shares of common stock outstanding. Its management believes that its current stock price of $100 per share is too high. The company is planning to conduct stock splits in the ratio of 2 for 1 as described in the animation ktificate of St 12 If Tolbotics Inc. declares a 2-for-1 stock split, the price of the company's stock after the split, assuming that the total value of the firm's stock remains the same after the split, will be $50.00 $300.00 $25.00 $33.33 ys a 6% stock dividend, how 420 00will the firm issue to its existing Hackworth Hardware Company is one of Tolbotics's leading competitors. Hackworth Hardware Company's market intelligence research team shares Tolbotics's plans of announcing a stock split, influencing the distribution policy makers. Consequently, executives at Hackworth decide to offer stock dividends to its shareholders. shareholders 56,100 shares O 66,000 shares 69,300 shares O 46,200 shares A stock dividend is another way of keeping the stock price from going too high. Hackworth currently has 1,100,000 shares of common stock outstanding