rmcarde2154 rmcarde2154

17-09-2020
Business

contestada

A price weighted index is composed of 3 stocks. Stocks A, B, and C are trading for $100, $56 and $32 respectively. The number of shares outstanding are 1000 shares (for Stock A), 500 shares (for stock B) and 500 shares (for stock C). Stock A has a two for one stock split, and consequently its price automatically drops to $50 (all other stock prices remain unchanged). What must be the value of the new divisor

Respuesta :

19-09-2020

Answer:

The total value will not change.

Explanation:

Stock split occurs when a stock is divided into parts. The value of each stock will decline but there will be more stocks and overall value will remains same. If stock A goes through a stock split then the new price per stock will decline but the overall value to the investor will remain same.

Answer Link

Otras preguntas

how were civilizations influenced by other civilizations in Indian ocean trade network?

At a friend’s housewarming, you meet a nice couple from India. They are engaged and tell you that their marriage was arranged – the young woman was "given" to t

When an aqueous solution of strontium chloride is added to an aqueous solution of potassium sulfate, a precipitation reaction occurs. Write the balanced net ion

Calculate the force of attraction between a Ca2 and an O2- ion the centers of which are separated by a distance of 1.25 nm. Express your answer in N in enginee

Initialize the tuple team_names with the strings 'Rockets', 'Raptors', 'Warriors', and 'Celtics' (The top-4 2018 NBA teams at the end of the regular season in o

Select each binomial that is a factor of the following polynomial. 3x2−14x−24 Question 4 options: x−4 x+4 x−6 x+6 3x−4 3x+4

Electronic computer chips made of tiny silicon wafers now regularly contain millions of electronic switches. Unfortunately, electronic switches that are this sm

Explorers on a planet with a thin atmosphere want to measure the acceleration of gravity at its surface. So they use a spring gun to launch a ball bearing verti

Imagine you want to learn more about Mike Smith’s osteosarcoma. How could you use microarray technology to determine which genes have been affected in his tumor

Which number is greater?a) 1.204×10^24b)3.01×10^23I need the answer ASAP