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[8 Points] Galles Corporation is evaluating an extra dividend versus a share repurchase. In either case, $25,500 would be spent. Current earnings are $1.80 per

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[8 Points] Galles Corporation is evaluating an extra dividend versus a share repurchase. In either case, $25,500 would be spent. Current earnings are $1.80 per share, and stock currently sells for $60 per share. There are 2,200 shares outstanding. Ignore taxes and other imperfections in answering the following questions: a. Evaluate the two alternatives in terms of the effect on the price per share of the stock and shareholder wealth. b. What will be the effect on the company's EPS under the two different scenarios

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