Calculating share price after stock splits,stock dividends and reverse stock split assuming no market imperfections or tax effects

Bermuda Triangle Corp. (BTC) currently has 300,000 shares of stock outstanding that sell for $80 per share. Assuming no market imperfections or tax effects exist, what will the share price be after:

a. BTC has a 5-for-3 stock split?
b. BTC has a 15% stock dividend?
c. BTC has a 42.5% stock dividend?
d. BTC has a 4-for-7 reverse stock split?
e. Determine the new number of shares outstanding in parts (a) through (d).

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...s issued as dividends = 15% of 300,000=45,000

Total number of outstanding shares= 300,000+45,000=345,000

Since the total value of stocks will not change

300,000 X 80= 345,000 X P

P= $69.56

Shares outstanding= 345,000

c. BTC has a 42.5% stock dividend?

Number of new shares issued as dividend= 42.5% of 300,000=127,500
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