On June 3, CapiCal Who Had 2,500,000 Common Shares Outstanding

Multiple Choice

On June 3, CapiCal who had 2,500,000 common shares outstanding executed a two-for-one stock split. The company's shares that had been trading for $96.50 a share at the close of yesterday's trading, closed June 3rd at $48.50. What is the increase/decrease in market capitalization that CapiCal experienced?

A) No increase or decrease
B) An increase of $1,250,000
C) An increase of $122,500,000
D) A decrease of $1,121,250
E) A decrease of $121,250,000