Question
The owners' equity accounts for Freya International are shown here. Common stock ($.40 par value) $ 25,000 Capital surplus 300,000 Retained earnings 668,120 Total owners
| The owners' equity accounts for Freya International are shown here. |
| Common stock ($.40 par value) | $ | 25,000 |
| Capital surplus | 300,000 | |
| Retained earnings | 668,120 | |
| Total owners equity | $ | 993,120 |
| a-1 | If Freya declares a four-for-one stock split, how many shares are outstanding now? (Do not round intermediate calculations.) |
| New shares outstanding |
| a-2 | What is the new par value per share? (Do not round intermediate calculations. Round your answer to 3 decimal places, e.g., 32.161.) |
| New par value | $ per share |
| b-1 | If Freya declares a one-for-five reverse stock split, how many shares are outstanding now? (Do not round intermediate calculations.) |
| New shares outstanding |
| b-2 | 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 |
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Financial Times Guide To Finance For Non Financial Managers
Authors: Jo Haigh
1st Edition
0273756206, 978-0273756200
