Question
A company has 1 million shares outstanding and earnings are $3 million. The company decides to use $30 million in idle cash to repurchase shares
A company has 1 million shares outstanding and earnings are $3 million. The company decides to use $30 million in idle cash to repurchase shares in the open market. The companys shares are trading at $40 per share. If the company uses the entire $30 million of idle cash to repurchase shares at the market price, the companys earnings per share will be closest to:
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The Routledge Handbook Of State Owned Enterprises
Authors: Luc Bernier, Massimo Florio, Philippe Bance
1st Edition
1138487694, 978-1138487697
