(Solution) If A Company Offers A One For Five Bonus Issue And The Current Share Price Cum-bonus Is $7.5, The Theoretical Value Of Each Share Ex-bonus Is 6.25. | Snapessays.com
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(Solution) If a company offers a one for five bonus issue and the current share price cum-bonus is $7.5, the theoretical value of each share ex-bonus is 6.25.


If a company offers a one for five bonus issue and the current share price cum-bonus is $7.5, the theoretical value of each share ex-bonus is 6.25. How to get this number?

 

And a similar question.

 

In a one for nine bonus issue,if the cum-bonus price was $10, then the theoretical ex-bonus price would be $9. Why it is wrong?

 

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This question was answered on: May 23, 2022

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