Question
In: Finance
Worst Buy Company has had a lot of complaints from customers of late, and its stock...
Worst Buy Company has had a lot of complaints from customers of late, and its stock price is now only $5 per share. It is going to employ a one-for-six reverse stock split to increase the stock value. Assume Dean Smith owns 144 shares.
a. How many shares will he own after the
reverse stock split? (Do not round intermediate
calculations and round your answer to the nearest whole
number.)
|
b. What is the anticipated price of the stock
after the reverse stock split? (Do not round intermediate
calculations and round your answer to 2 decimal
places.)
|
c. Because investors often have a negative reaction to a revere stock split, assume the stock only goes up to 70 percent of the value computed in part b. What will the stock’s price be? (Do not round intermediate calculations and round your answer to 2 decimal places.)
|
d. How has the total value of Dean Smith’s
holdings changed from before the reverse stock split to after the
reverse stock split (based on the stock value computed in part
c)? To get the total value before and after the split,
multiply the shares held times the stock price. (Input the
amount as a positive value. Do not round intermediate calculations
and round your answer to 2 decimal places.)
|
Solutions
Expert Solution
SEE THE IMAGE. ANY DOUBTS, FEEL FREE TO ASK. THUMBS UP PLEASE
jeff jeffy answered 1 year agoRelated Solutions
Worst Buy Company has had a lot of complaints from customers of late, and its stock...
Worst Buy Company has had a lot of complaints from customers of
late, and its stock price is now only $3 per share. It is going to
employ a one-for-six reverse stock split to increase the stock
value. Assume Dean Smith owns 120 shares.
a. How many shares will he own after the
reverse stock split? (Do not round intermediate
calculations and round your answer to the nearest whole
number.)
b. What is the anticipated price of the stock
after...
Worst Buy Company has had a lot of complaints from customers of late, and its stock...
Worst Buy Company has had a lot of complaints from customers of
late, and its stock price is now only $2 per share. It is going to
employ a one-for-six reverse stock split to increase the stock
value. Assume Dean Smith owns 150 shares.
a. How many shares will he own after the reverse stock split?
(Do not round intermediate calculations and round your answer to
the nearest whole number.)
b. What is the anticipated price of the stock after...
a) The manager of Ghana Boxes company has a lot of challenges managing its stock item...
a) The manager of Ghana Boxes company has a lot of challenges
managing its stock item in inventory, the company has decided to
employ a stores manager, you have been shortlisted as an applicant
suitable for the job, you have been asked by a panel member in the
interview, to explain the likely challenges affecting the stores of
the box production company and suggest ways through which as a
potential store manager, mechanisms you would adopt to ensure
inventory are...
A soft drink company has recently received customer complaints about its one-liter-sized soft drink products. Customers...
A soft drink company has recently received customer complaints
about its one-liter-sized soft drink products. Customers have been
claiming that the one-liter-sized products contain less than one
liter of soft drink. The company has decided to investigate the
problem. According to the company records, when there is no
malfunctioning in the beverage dispensing unit, the bottles contain
1.02 liters of beverage on average, with a standard deviation of
0.15 liters. A sample of 70 bottles has been taken to be...
Since there was lot of complaints from external auditor and regulatory authorities about the financial irregularities...
Since there was lot of complaints from external auditor and
regulatory authorities about the financial irregularities in the
company last year, management decided to form an audit committee.
Since all the prospective members of the committee are new and less
experience, they asked your advice to set the role and
responsibility of the members. The company appointed Mr. Said as
the chairman of audit committee with four other members.
You are required to answer the following question.
1. Do you...
Business has been dropping. The major complaints of BurgerSupreme’ s customers’ are that they have to...
Business has been dropping. The major complaints of
BurgerSupreme’ s customers’ are that they have to wait 20% longer
than at most competitor's restaurant; that the hamburgers are cold
when served; and, that they are more expensive. Which of the
following is most likely the basis of the troubles for
BurgerSupreme?
a. Lack of customer satisfaction b. Lack of repeat business c.
Lack of customer loyalty d. Lack of retained earnings e. Not
providing enough value
A CEO wondered if her company received either more or less complaints from its workers on...
A CEO wondered if her company received either more or less
complaints from its workers on Monday than any other day. She
figured that if it were truly random, 20% of the complaints should
have been filed on Monday. She randomly selected 50 complaints and
checked the day that they were submitted. In those complaints 13
were submitted on a Monday.
The CEO conducts a one-proportion hypothesis test at the 5%
significance level, to test whether the true proportion of...
When a company lets customers buy on credit, the company attracts more customers. Allowing sales on...
When a company lets customers buy on credit, the company
attracts more customers. Allowing sales on credit is a part of
doing business. However, it is not without risk! The result may be
attracting some customers who will never pay the amount they owe to
the business. When this money is not paid, the business has an
uncollectible account which must be written-off. If a business has
too many uncollectible accounts, the business suffers and the end
result can spell...
A credit card company reported that its overall population of customers had a mean balance of...
A credit card company reported that its overall population of
customers had a mean balance of $3,500 for the year
2019, with a population standard deviation of $2000. A sample of 35
customers this year showed a mean balance of
$4,200. Based on that sample, can we conclude that the population
mean has increased?
Use alpha of .01
For full credit, state and clearly label the null and alternate
hypotheses and the givens, state the alpha, find the
test statistic,...
Suppose you buy a round lot of Francesca Industries stock on 55 percent margin when the...
Suppose you buy a round lot of Francesca Industries stock on 55
percent margin when the stock is selling at R20 a share. The broker
charges a 10 percent annual interest rate, and commissions are 3
percent of the stock value on the purchase and sale. A year later
you receive a R0.50 per share dividend and sell the stock for R27 a
share. What is your rate of return on Francesca Industries?
ADVERTISEMENT
ADVERTISEMENT
Latest Questions
- Given a connected graph G with n vertices. We say an edge of G is a...
- Let iqsort(A, 1, n) be an algorithm that sorts an array A with n integers. It...
- Write a program to print the number of class assignments you have done so far, the...
- This is in C# on visual Basic Write a base class that has two property members:...
- Greta, an elderly investor, has a degree of risk aversion of A = 3 when applied...
- Should certain categories of drugs be decriminalized? What might the impact be – in the short-...
- How does your initiative support student learning in the classroom? Cost/Factors for implementation the bottom you...
ADVERTISEMENT