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Blackburn Pharmacy has 27,000 shares of stock outstanding at amarket price of $5.60 a share. If the firm does a 1-for-5 stocksplit, the number of
Blackburn Pharmacy has 27,000 shares of stock outstanding at amarket price of $5.60 a share. If the firm does a 1-for-5 stocksplit, the number of outstanding shares will be ____ at a marketprice of _____ per share, all else constant.
a. 135,000 / $5.60
b. 135,000 / $1.12
c. 5,400 / $28.00
d. 5,400 / $1.12
e. $5,400 / $5.60
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