If stock of choco company is trading at $50 per share. The share price after the five-for-three stock split is: C. $30.
What is the share price?
New number of shares outstanding:
New number of shares after the split:
2,000,000 * (5/3)
= 3,333,333.33 (rounded to the nearest whole number)
New share price:
New share price after the split:
= $50 / (5/3)
= $50 * (3/5)
= $30
Therefore, the share price after the five-for-three stock split is $30.