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Rocky Ground Camping Supply Inc. has 200,000 shares of stock outstanding each with a market value of $15. In addition, on the balance sheet there
Rocky Ground Camping Supply Inc. has 200,000 shares of stock outstanding each with a market value of $15. In addition, on the balance sheet there is common stock of $1,950,000 and retained earnings of $1,450,000. Suppose the firm declares a 20% stock dividend. What is the stock's new price per share? Assume there are no taxes or transaction costs.
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Fundamentals of Corporate Finance
Authors: Stephen A. Ross, Randolph W. Westerfield, Bradford D.Jordan
8th Edition
978-0073530628, 978-0077861629
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