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Question
Ross-Jordan Financial has suffered losses in recent years, and its stock currently sells for only $0.60 per share. Management wants to use a reverse split to get the price up to a more "reasonable" level, which it thinks is $12 per share. How many of the old shares must be given up for one new share to achieve the $12 price, assuming this transaction has no effect on total market value?a. 18.00
b. 20.80
c. 16.20
d. 20.00
e. 15.60
Answer
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