Explore BrainMass
Share

Calculating Accumulated Shares

This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

Consider the following information. How many shares do you hold today if you bought 1,000 shares of this stock at the beginning of 1985?
1986 - 10 percent stock dividend
1987 - 10 percent stock dividend
1988 - 25 percent stock dividend
1989 - 100 percent stock dividend
1994 - 2-for-1 stock split
2007 - 100 percent stock dividend.

© BrainMass Inc. brainmass.com March 21, 2019, 9:43 pm ad1c9bdddf
https://brainmass.com/business/accounting-for-corporations/calculating-accumulated-shares-388103

Solution Preview

Here is the computation:

Year Event Shares Issued Balance Computation
1985 1,000.00 Given
1986 ...

Solution Summary

This solution illustrates the effect of stock dividends and splits on an investor's stock holdings.

$2.19