Question

Cises

1. Yesterday the Rockville Corporation instituted a 2-for-1 stock split. Before the split, the market
share price was $63.44 per share and the corporation had 2.3 billion shares outstanding.
a. What was the pre-split market cap for Rockville?
b. What was the post-split number of shares outstanding for Rockville?
c. What was the post-split market price per share for Rockville?

Answer 1

a: $145,912,000,000

b: 4.6 bn shares

c: $31.72/per share (divide in half)