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9. Shaan Company will either payout $4,000 extra dividend or do a $4,000 share repurchase. Its current EPS are $.90 and its stock is currently

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9. Shaan Company will either payout $4,000 extra dividend or do a $4,000 share repurchase. Its current EPS are $.90 and its stock is currently trading at $35 per share. Shaan has 150 shares outstanding. Ignoring taxes: a. How will each alternative affect the share price and shareholder wealth? b. How will each alternative impact Shaan's EPS and PE ratio? c. What would be your advice as to which alternative should be chosen, in view of the real world considerations? Reason out your advice

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