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Question

On nc[_udcht %otExceltemplateSnimHmerTormubzEntnTell rc what Yu wantEditingGeneralStockTha averugo totum Iorlam cp doncstk stock fndi Over Iha throo yoan 2000 2011 Was 147% Aasuma Ina Ihrod-yrar rolurna wora normn l G ntrbulad #Cros; lunda mh # atardard davaltion 4 698Arorogn relurn (dcomal lorm) Retutn ntridaIrd davution (dao mal nn)What a the probebilily ndivdunl Dioa-ChP Jenonuo toctelundnaa Iyon Yualr mtum 0l Hetnh 70*-(lo 4 docainolal? wat In probubllily Indlvidun] larpa C#p darnon"c

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Answers

Use the following spreadsheet to answer Exercises 13–15. The split-ratio is entered in cells B2 and C2. For example, the ratio of 2-for-1 would be entered as a 2 in B2 and a 1 in C2. The number of pre-split shares is entered in B3 and the pre-split price is entered in B4.

Write the pre-split market cap formula in cell B9 and the post-split market cap formula in C9.

$$\begin{array}{|c|c|c|c|}\hline & {A} & {B} & {C} & {} \\ \hline 1 & {} & {\text { Pre-split }} & {\text { Post-spit }} \\ \hline 2 & {\text { Split ratio }} & {2} & {1} \\ \hline 3 & {\text { Outstanding shares }} & {} & {} \\ \hline 4 & {\text { Price per share }} & {} & {} \\ \hline 5 & {\text { Market cap }} & {} & {} \\ \hline\end{array}$$

The first step in this problem is to substitute the values the given values for a one B one and C one into there, respective variables. So we're gonna start with going with D six equals and a one is 10. So we'll put 10 and for a one minus 0.2 times and be one is negative. Three. So we'll put negative three. And from B one course 0.3 and time, See, one is 30 now. We'll use some order of operations, so d six equals 10 and we'll multiply 0.2 in negative three together. Now, this is gonna give us a negative 0.6, but because there's a minus there, it will be a minus negative 0.6. Therefore, that minus negative becomes a plus 0.6 plus and then we're gonna multiply 0.3 and 30 together to get nine. The last step is to add these three items together 10.6 and nine and you should get D six equals 19.6. This is our final answer

All right, There's a lot going on here. But the most important thing to recognize is this. That right here in the table, this is the pre shares. And so this is going to change to the post shares and see three there. And so that's what we need for C three. We need a formula to give us the Post shares, and we know a 2 to 1 split means there's gonna be twice as much post shares. So it's just gonna be to have whatever those pre shares is and those are in calm or I'm gonna say Cell B three. Another way to say this, I mean to is be two divided by C two, but that just seems more complex than what we need to times. Be three gives you the post shares, which is C three

All right, We're going to be working on number 14 and I'm just gonna type the answer here, but before I do, we need to recognize very carefully that this the pre split price per share is before right here, So that's what we're gonna manipulate. So basically, what happens to the price per share in a 2 to 1 split in that price per share splits in half. Another way to say half 0.5. So it's just gonna be 0.5 times that before. So I was referring to and let me even make this more clear that is equal to the post split or the C four scale are so another way to say this is that 0.5 is C two divided by B to. But honestly, I think that is more complex than we need to get to. This formula would work perfectly well for a 2 to 1 split

In this problem of sex and counting. We have given that you are given data on revenue from sales of sailboat. Then motorboats and yachts. Motorboats and yachts for each of the year. From 2003 2, 2006, say 2004 were with their 2005. Would with their and 2006 will be also there. How would you represent this data in a spreadsheet? So we have to make a spreadsheet. I'm showing you. So here it is Year 2003 04 five and 6. And here we have in place of sailboats, motorboats and yachts. So in the first column, we have mentioned the year. In the second column, we have 2003 and sailboats 2003 and motorboat 2003 and yards 2004 sailboat 2004. Motorboats 2004 and yards, 2005 sailboats, 2005. Motor Board 3005 yards, 2006 Sailboat 2007. Here the 2006 actually Motorboat and 2006 yards. So this is required. The spreadsheet. So this is the answer for party and no the cells in your A spreadsheet represent elements of which set. So elements of hit. We can say if set A is 2003, 2005. And we can say 2006. Then we can say say it to be contains sailboat, then motor boat, then yachts. So sell represent the element of set A multiplied with B. So this is a solution for part BB


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