What is the new par value per share

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Reference no: EM131905221

Problem : Stock Splits

The company with the common equity accounts shown here has declared a 5-for-one stock split when the market value of its stock is $32 per share. The firm's 80-cent per share cash dividend on the new (postsplit) shares represents an increase of 25 percent over last year's dividend on the presplit stock.

Common stock ($1 par value)	$	410,000
Capital surplus		851,000
Retained earnings		3,770,800

Total owner's equity	$	5,031,800

What is the new par value per share? (Do not round intermediate calculations. Round your answer to 2 decimal places, e.g., 32.16.)

What was last year's dividend per share? (Do not round intermediate calculations. Round your answer to 2 decimal places, e.g., 32.16.)

Reference no: EM131905221

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