ToyWorld reported the following information: Common stock $1 par, 200,000 shares authorized 100,000 shares issued and outstanding.
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ToyWorld reported the following information: Common stock $1 par, 200,000 shares authorized 100,000 shares issued and outstanding.
Required:
What is the typical effect of a 2-for-1 stock split on the information Toy World's reports above? If the market value of the common stock is $20 per share when the stock split is declared, what would you expect the approximate market value per share to be immediate after the split?
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on...
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Authorized shares 200000 2 400000 Issued shares 100000 2 200000 ...View the full answer
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Related Book For 
Cornerstones of Financial and Managerial Accounting
ISBN: 978-0324787351
1st Edition
Authors: Rich Jones, Mowen, Hansen, Heitger
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