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Dividend policy please help se common stock currently sells for $20 per share Preferred stock $500,000 Common stock(2,000,000 shares@$1 2,000,000 paid in capital in excess
Dividend policy please help
se common stock currently sells for $20 per share
Preferred stock | $500,000 |
Common stock(2,000,000 shares@$1 | 2,000,000 |
paid in capital in excess of par | 10,000,000 |
retained earnings | 11,600,000 |
total stockholders equity | $24,100,000 |
a) what is the maximum dividend per-share se can pay? ( assume capital includes all paid in capital)
b) recast the partial balance sheet(to Stockholders equity accounts) to show independently
1-a 2-for-1 stock split of the common stock
2-a cash dividend of $1.50 per share
3-a stock dividend of 5% on the common stock
c) at what price what you expect se stock to sell after
1-the stock split
2- the stock dividend?
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