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Navarra Ltd is considering using share bonus and share split to dilute its equity ownership. The company currently has 4 million shares outstanding on the
- Navarra Ltd is considering using share bonus and share split to dilute its equity ownership. The company currently has 4 million shares outstanding on the market. Its share price is $32.
- If Navarra choose to use the share bonus of 8%, what will be the change in the number of shares outstanding and market share price after the share bonus?
- If Navarra choose to use a 5 to 4 share split, what will be the change in the number of shares outstanding and market share price after the share split?
- From the companys perspective, should it prefer the share bonus or the share split?
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