Tarheel Computing's Stock Was Trading at $150 Per Share Before

Multiple Choice

Tarheel Computing's stock was trading at $150 per share before its recent 3-for-1 stock split. The 3-for-1 split led to a 5 percent increase in Tarheel's market capitalization. (Market capitalization equals the stock price times the number of shares.) What was Tarheel's price after the stock split?

A) $472.50
B) $ 50.00
C) $ 47.62
D) $428.57
E) $ 52.50