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Central Perk Coffee Co

Question 44

Multiple Choice

Central Perk Coffee Co.trades for $0.85 per share and had 100M shares outstanding.It announces that it will execute a reverse-split on a 1-for-4 basis.What price will the stock trade for after the split?


A) $0.15
B) $0.85
C) $1.06
D) $2.40
E) $3.40

Correct Answer:

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