Gordon Corporation reported the following equity section on its current balance sheet.The common stock is currently selling for $11.50 per share. After a 2-for-1 stock split,what would be the number of issued shares?

Question

Gordon Corporation reported the following equity section on its current balance sheet.The common stock is currently selling for $11.50 per share.  After a 2-for-1 stock split,what would be the number of issued shares?

Quizplus · Accepted Answer

After a 2-for-1 stock split, the number of shares outstanding doubles. Therefore, the number of issued shares would be 280,000 (140,000 x 2).

Gordon Corporation Reported the Following Equity Section on Its Current