question archive Google has 100 million shares outstanding
Google has 100 million shares outstanding
Subject:FinancePrice:2.86 Bought18
Google has 100 million shares outstanding. Its stock price is $1000. a. If Google issued a 20% stock dividend, what will its new share price be? b. If Google does a 3:2 stock split, what will its new share price be? c. If Google does a 1 for 3 reverse split, what will its new share price be?
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Stock Price =100
a. New Share Price =Stock Price/(1+Stock Dividend %) =1000/(1+20%) =833.33
b. New Share Price Price after stock split= Stock price * 2/3 = 1000 * 2/3 =666.67
c. New Share Price after reverse stock split =Stock price * 3/1 =1000*3 =3000
