Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. lacrosse industries currently has 500,000 shares o

LaCrosse Industries currently has 500,000 shares outstanding at a market price of $135 per share....

80.2K

Verified Solution

Question

Accounting

image

LaCrosse Industries currently has 500,000 shares outstanding at a market price of $135 per share. The firm would like to lower the trading range closer to $50 per share. What sort of stock split should the firm announce: How many shares will be issued for each current share and what will the market price be per share? Hint, come up with some even number of new shares for each old share, $50 per share is the ballpark range the firm is looking at, not a firm number. LaCrosse Industries currently has 500,000 shares outstanding at a market price of $135 per share. The firm would like to lower the trading range closer to $50 per share. What sort of stock split should the firm announce: How many shares will be issued for each current share and what will the market price be per share? Hint, come up with some even number of new shares for each old share, $50 per share is the ballpark range the firm is looking at, not a firm number

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students