On June 30, the board of directors of Sandals, Inc., declares a 2-for-1 stock split on its 30,000, $1 par, common shares. The market price of Sandals common stock is $35 on June 30. What are the number of shares, par value per share, and market price per share immediately after the 2-for-1 stock split? (Round dollar values to 2 decimal places.)

Number shares of after the split = 60,000

Par value per share after the split = $0.50

Market price per share after the split  = $17.50

Explanation:

Number shares of after the split = 30,000 × 2 = 60,000

Par value per share after the split = $1 ÷ 2 = $0.50

Market price per share after the split = $35 ÷ 2 = $17.50

This shows that immediately after the 2-for-1 stock split, the number of shares will change to 60,000 shares, par value per share will change to $0.50, and market price per share will change to $17.50.

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