a-company-with-300000-shares-at-a-par-value-of-075-and-a-market-price-of-50-decl

Question

A company with 300,000 shares at a par value of $$0.75 and a market price of 50 $$declares a 2 for 1 stock split. What are the new shares outstanding, new par value, and new market price?

Accepted Answer

600,000 shares, $$0.375 par value, 25 $$market price

Answer

450,000 shares, $$0.50 par value, 30 $$market price

Answer

150,000 shares, $$1.50 par value, 100 $$market price

Answer

300,000 shares, $$0.75 par value, 50 $$market price

A company with 300,000 shares at a par value of \$0.75 and a market price of \$50 declares a 2 for 1 stock split. What are the new shares outstanding, new par value, and new market price?