Last week, Weschler Paint Corp. completed a 3-for-1 stock split. Immediately prior to the split, its stock sold for $150 per share. The firm's total market value was unchanged by the split. Other things held constant, what is the best estimate of the stock's post-split price

$50

Explanation:

The total value of the company did not change which would mean that the number of shares now outstanding still give the same value when added up.

The 3-for-1 stock split therefore simply increased the number of stock outstanding threefold while reducing its value by the same amount so that the Total Value remains the same.

Price of 1 stock is,

= 150/3

= $50

a manufacturer of printed circuit boards uses exponential smoothing with trend to forecast monthly demand of its product. at the end of december, the company wishes to forecast sales for january. the estimate of trend through november has been 200 additional boards sold per month. average sales have been around 1000 units per month. the demand for december was 1100 units. the company uses α = 0.20 and β = 0.10. make a forecast including trend for the month of january.