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ololo11 [35]
3 years ago
7

Mainway Toy Company currently has 10,000 shares of common stock outstanding. Its management believes that its current stock pric

e of $95 per share is too high. The company is planning to conduct stock splits in the ratio of 2 for 1 as described in the animation. If Mainway Toy Company declares a 2-for-1 stock split, the price of the company's stock after the split, assuming that the total value of the firm's stock remains the same after the split, will be ____________.
Business
1 answer:
Luda [366]3 years ago
7 0

Answer:

$47.50

Explanation:

A stock split implies dividing the existing number of shares into multiples in order to enhance the liquidity of the firm's shares.

It is noteworthy that the stock split does not add any value to the existing stock account balance as well as paid in surplus account value since only the number of issued shares changed , values are kept constant.

share price after split=share price before split/stock split ratio

share price before split=$95

stock split ratio=2/1

share price after split=$95/2/1

share price after split=$95*1/2

share price after split=$47.50

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3 years ago
A competitive firm sells its output for $50 per unit. Assume that labor is the only input that varies for the firm. The marginal
noname [10]

Answer:

the value of the marginal product of labor is $500

Explanation:

The computation of the value of the marginal product of labor is shown below:

= MRP × price per unit

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= $500

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3 years ago
The flowtime of the last job in a single work center’s schedule is 7 days. What is the makespan of this schedule?
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Answer:

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8 0
3 years ago
The manager of Flogymki, a newly opened continental restaurant, decides to organize the restaurant's labor force into separate d
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In the given case, the manager is dividing the company as per the purchase,serving and home delivery etc. It is evident that the grouping is done upon the specific activities to be performed.

Hence we can conclude that the correct option is B.

5 0
3 years ago
Bourne Incorporated reports a cash balance at the end of the month of $2,445. A comparison of the company's cash records with th
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Answer and Explanation:

The journal entries required to adjust the balance of cash as follows:

1. Cash Dr $1,128

       To Notes receivable  $1,100

       To Interest revenue $28

(Being the cash is recorded)

Here cash is debited as it increased the assets and credited the notes receivable and interest revenue as it decreased the assets and revenue

2. Service expense Dr $78

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(being the cash paid is recorded)

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4 0
3 years ago
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