EJH Company has a market capitalization of $1 billion and 20 million shares outstanding. It plans to

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EJH Company has a market capitalization of $1 billion and 20 million shares outstanding. It plans to distribute $100 million through an open market repurchase. Assuming perfect capital markets:

a. What will the price per share of EJH be right before the repurchase?

b. How many shares will be repurchased?

c. What will the price per share of EJH be right after the repurchase?

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Corporate Finance

ISBN: 9780137845071

6th Edition

Authors: Jonathan Berk, Peter DeMarzo

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Question Posted: Jun 12, 2024 01:12 AM

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EJH Company has a market capitalization of $1 billion and 20 million shares outstanding. It plans to

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Corporate Finance

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