A company with 20 million shares outstanding decides to repurchase 2 million shares at the prevailing market
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A company with 20 million shares outstanding decides to repurchase 2 million shares at the prevailing market price of €30 per share. At the time of the buyback, the company reports total assets of €850 million and total liabilities of €250 million. As a result of the buyback, that company’s book value per share will most likely:
A. increase.
B. decrease.
C. remain the same.
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Related Book For
Corporate Finance A Practical Approach
ISBN: 9781118217290
2nd Edition
Authors: Michelle R Clayman, Martin S Fridson, George H Troughton, Matthew Scanlan
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