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AA is a pharmaceutical company and plants to adopt a stock splits by giving 2 stocks for 1 existing stocks The current stock price per
AA is a pharmaceutical company and plants to | ||||
adopt a stock splits by giving | 2 | stocks for | 1 | existing stocks |
The current stock price per share is | $50 | |||
The company's managers believe the total market value would | ||||
increase by | 5% | |||
This is because of the expected improvement in companies' liquidity that will follow the company's plan | ||||
Find the stock's expected price immediately after the stock split. |
Less than $25.00 |
[$25.00,$26.50] |
[$26.5,$28.50] |
More than $28.50 |
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