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Part 1

If 

Berkshire HathawayBerkshire Hathaway​'s 

A shares are trading at 

​$119 comma 850119,850​, 

what split ratio would it need to bring its stock price down to 

$ 51$51 

per​ share?

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Part 1

The stock split ratio required to reduce 

Berkshire HathawayBerkshire Hathaway​'s 

A shares to 

$ 51$51 

is 

enter your response here 

to 1.  ​(Round the nearest​ integer.)

To find the stock split ratio that would bring the price of Berkshire Hathaway A shares down from \$119,850 to \$51, we need to use the following formula:

\[
\text{Split Ratio} = \frac{\text{Current Price}}{\text{Desired Price}} = \frac{119,850}{51}
\]

Let's calculate that:

\[
\text{Split Ratio} = \frac{119,850}{51} = 2,350
\]

Therefore, the required stock split ratio is **2,350 to 1**.

Would you like further details or explanations on this? Here are 5 related questions to expand your understanding:

1. How does a stock split impact an investor's holdings?
2. Why do companies like Berkshire Hathaway rarely perform stock splits?
3. What is the difference between a stock split and a reverse stock split?
4. How does a stock split affect a company's market capitalization?
5. Can stock splits affect the company's financial performance?

**Tip**: A stock split doesn't change the total value of your holdings, just the number of shares you own and the price per share.

If Berkshire Hathaway's A shares are trading at $119,850, what split ratio would it need to bring its stock price down to $51 per share? (Round to the nearest integer.)

Discover how to calculate the stock split ratio needed to reduce Berkshire Hathaway's A share price from $119,850 to $51 per share. This problem involves basic division, stock market concepts, and ratio analysis. Suitable for high school students.

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