Prezario's Has 25,000 Shares of Stock Outstanding with a Par

question 46

Multiple Choice

Prezario's has 25,000 shares of stock outstanding with a par value of $1 per share.The current market value of the firm is $847,000.Currently,the retained earnings account balance is $428,000 and the capital in excess of par value account balance is $187,000.The company just announced a 3-for-1 stock split.What is the common stock account balance after the stock split?

• A)$8,333
• B)$25,000
• C)$75,000
• D)$77,333
• E)$232,000

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Definitions:

Technological Environmental Force

External factors related to advancements in technology that can affect the operations and competitiveness of businesses within an industry.

Demographic Characteristics

Attributes of populations, such as age, race, gender, income, and education, used in market research and policy analysis.

Social Forces

Factors that affect society’s basic structure and the behavior of its members, including values, culture, norms, and demographic characteristics.

Environmental Scanning

The process of collecting and analyzing information about elements in the external environment that could impact an organization's strategies.