Now suppose Natsam Corporation has $275 million of excess cash. The firm has no debt and 500
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Now suppose Natsam Corporation has $275 million of excess cash. The firm has no debt and 500 million shares outstanding with a current market price of $19 per share. The board decided to do the share repurchase in Problem 7 part
b, but you, as an investor, would have preferred to receive a dividend payment. How can you leave yourself in the same position as if the board had elected to make the dividend payment instead?
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