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Proposed reverse stock split takes place

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You currently own 600 shares of stock in Beverly Brothers Inc. The stock currently trades at $6 a share. The company is contemplating a 1-for-3 reverse stock split. Which of the following best describes your position after the proposed reverse stock split takes place?

You will have 1,800 shares of stock with $2 a share.
You will have 1,800 shares of stock with $18 a share.
You will have 200 shares of stock with $18 a share.
You will have 200 shares of stock with $2 a share.

Reference no: EM132585379

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