Pharma Duece Corporation,which manufactures biotech drugs,has been experiencing a tremendous growth in the price of its common stock.The stock price increased from $4.50 on January 1,2011 to $18.00 per share on December 31,2015.Its current net worth statement is as follows:
$$\begin{array} { l r }
\text { Common stock ( } 2.0 \text { million shares) } & \$ 37,000,000 \
\text { Retained earnings } & { 33,000,000 } \&{ \$ 70,000,000 }
\end{array}$$ A)What changes would occur in the above statement of net worth after a 2 for 1 stock split? B)Earnings for 2015 were $1,575,000,what would EPS be before and after the stock split?

Question

Pharma Duece Corporation,which manufactures biotech drugs,has been experiencing a tremendous growth in the price of its common stock.The stock price increased from $4.50 on January 1,2011 to $18.00 per share on December 31,2015.Its current net worth statement is as follows:
$$\begin{array} { l r } 
\text { Common stock ( } 2.0 \text { million shares) } & \$ 37,000,000 \
\text { Retained earnings } & { 33,000,000 } \&{ \$ 70,000,000 }
\end{array}$$ A)What changes would occur in the above statement of net worth after a 2 for 1 stock split? B)Earnings for 2015 were $1,575,000,what would EPS be before and after the stock split?

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The Answer of Pharma Duece Corporation,which manufactures biotech drugs,has been experiencing a tremendous growth in the price of its common stock.The stock price increased from $4.50 on January 1,2011 to $18.00 per share on December 31,2015.Its current net worth statement is as follows:
$$\begin{array} { l r } 
\text { Common stock ( } 2.0 \text { million shares) } & \$ 37,000,000 \
\text { Retained earnings } & { 33,000,000 } \&{ \$ 70,000,000 }
\end{array}$$ A)What changes would occur in the above statement of net worth after a 2 for 1 stock split? B)Earnings for 2015 were $1,575,000,what would EPS be before and after the stock split?

Pharma Duece Corporation,which Manufactures Biotech Drugs,has Been Experiencing a Tremendous