The market value balance sheet for Bobaflex Manufacturing is shown here. The company has declared a...

The market value balance sheet for Bobaflex Manufacturing is shown here. The company has declared a 25 percent stock dividend. The stock goes ex dividend tomorrow (the chronology for a stock dividend is similar to that for a cash dividend).

Market Value Balance Sheet
Cash	$	99,000	Debt	$	158,000
Fixed assets		830,000	Equity		771,000

Total	$	929,000	Total	$	929,000

a.	There are 34,000 shares of stock outstanding. What is the current share price? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
b.	What will the ex-dividend price be? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

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Expert Solution

jeff jeffy answered 2 years ago

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