Question
The company with the common equity accounts shown here has declared a 5-for-one stock split when the market value of its stock is $33 per
The company with the common equity accounts shown here has declared a 5-for-one stock split when the market value of its stock is $33 per share. The firms 75-cent per share cash dividend on the new (postsplit) shares represents an increase of 20 percent over last years dividend on the presplit stock. |
Common stock ($1 par value) | $ | 475,000 |
Capital surplus | 864,000 | |
Retained earnings | 3,900,800 | |
Total owner's equity | $ | 5,239,800 |
What is the new par value per share? (Do not round intermediate calculations. Round your answer to 2 decimal places, e.g., 32.16.) |
New par value | $ per share |
What was last year's dividend per share? (Do not round intermediate calculations. Round your answer to 2 decimal places, e.g., 32.16.) |
Dividend per share | $ |
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