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trapecia [35]
3 years ago
6

The market value of Yeates Corporation’s common stock had become excessively high. The stock was currently selling for $270 per

share. To reduce the market price of the common stock, Yeates declared a 3-for-1 stock split for the 310,000 outstanding shares of its $12 par value common stock. Required: a. What entry will be made on the books of Yeats Corporation for the stock split? b. Determine the number of common shares outstanding and the par value after the split. c. Explain how the market value of stock will be affected by the stock split ?

Business
1 answer:
Pani-rosa [81]3 years ago
3 0

Answer:

b. the number of common shares outstanding is 930,000 and the stock split is $4.

Explanation:

Please see attachment

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