Question
The stock of Monarch Co. is going ex-dividend today. The company just paid $1.75 dividend per share. There are 40,000 shares of stock outstanding. The
The stock of Monarch Co. is going ex-dividend today. The company just paid $1.75 dividend per share. There are 40,000 shares of stock outstanding. The market value balance sheet for Monarch Co. is shown below. What is the stock price today (ex-dividend)? Ignore taxes.
| Assets | Liabilities and Equity | ||
| Current Assets | $500,000 | Liabilities | $700,000 |
| Non-current Assets | $1,500,000 | Shareholders Equity | $1,300,000 |
Multiple Choice
a. $32.50.
b. Not determinable.
c. $34.25.
d. $30.75.
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Accounting Principles
Authors: Jerry Weygandt, Paul Kimmel, Donald Kieso
12th edition
1119132223, 978-1-119-0944, 1118875052, 978-1119132226, 978-1118875056
