I am trying to better understand how shares work from a mathematical perspective. I am curious about how stocks work with companies to better understand how they work. Here is an example:
Let's say the number of shares of a company is 100. Person A owns 20 shares and person B owns 80 shares of a 10 dollar stock.
Q1) Person A sells one share and no one buys it. Does that mean the company has 99 shares where person B owns 0.8(100-1)=79.2 dollars and person A owns 0.2(100-1)=19.8 dollars? Or does the number of shares of a company always remain the same and something else happens? I think the share price would go down but not sure how.
Q2) Also, let's say person C buys a share and no one sells. I believe the stock price for person A would go up in this process but again am not sure how. How would you determine how much person A owns for a total amount of his 20 shares?
Q3) Let's say person A sells one share. Then, person C buys it. Would that mean the stock price moves up?
Q4) Can a company move a stock up and down? Here they start out with a $1000 market cap. If the company decides to spend $30 dollars, that means the amount person A owns will be 0.2(1000-30)=194 dollars. But then say the company makes 50 dollars of revenue spending that $30 dollars. When does that money get allocated to the shareholder person A, so that way he owns 0.2(1000-30+50)=204 dollars?