Prior to declaring a 4-for-1 stock split,Carbello Enterprises' stock sold for $44 a share.Immediately after the stock split,the value of a share of Carbello's stock should be ________ per share.

Question

Quizplus · Accepted Answer

In a 4-for-1 stock split, each existing share is divided into four shares, reducing the price per share by a factor of four. Therefore, $44 divided by 4 equals $11 per share.

Prior to Declaring a 4-For-1 Stock Split,Carbello Enterprises' Stock Sold