Primary supplier of fresh vegetables

Assignment Help Financial Management

Reference no: EM131079430

Carrot Top Farms is a primary supplier of fresh vegetables. Due to a major drought, almost all of the crops were lost for this season. As a result, the firm's stock has plummeted in value and is currently priced at $4.10 a share. The exchange on which the stock trades requires that the minimum stock price be $20 a share. The firm has decided to do a reverse stock split to avoid delisting. However, when it does this, the firm wants the stock price increased to at least 1.8 times the minimum exchange required price. Which one of the following stock split ratios is the minimum needed in this situation?

a. 7-for-1

b. 8-for-1

c. 9-for-1

d. 10-for-1

e. 12-for-1

Reference no: EM131079430

Questions Cloud

International bank for reconstruction and development : 1. International Bank for Reconstruction and Development (IBRD) 2. International Development Association (IDA) 3. International Finance Corporation (IFC)

Evaluate the overall benefits of having professional codes : Explain whether you think the responsibilities of professionals and organisation(s) in your case study are aided or impeded by a professional code of ethics.

Human and political factors loom large in the success : Human and political factors loom large in the success of projects. Given the general lack of coverage of this subject in engineering and science education, how might a PM gain the ability to deal with these issues?

Expenditures for an elastic demand curve : What is the relationship between the change in price and total expenditures for an elastic demand curve?

Primary supplier of fresh vegetables : Carrot Top Farms is a primary supplier of fresh vegetables. Due to a major drought, almost all of the crops were lost for this season. As a result, the firm's stock has plummeted in value and is currently priced at $4.10 a share. However, when it doe..

Maximum possible output : What is the line on the production possiblities graph that shows the maximum possible output?

Prepare mcclellan companys income statement for december : Prepare McClellan Company's statement of cost of goods manufactured for December. Enter all amounts as positive numbers. Prepare McClellan Company's income statement for December.

Explain some reasons why this is good and some why it is bad : With telecommunications increasing at a breakneck pace. Give and explain some reasons why this is GOOD and some why it is BAD.

Income was not reinvested in units : Simon bought unit trusts and invested for income. He invested £150,000 in a unit trust with an offer price of £75 per unit, and sold the units after 3 years at the same price. During this period he received income from the units of £38,400. This i..

User Account

All Pages