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A firm has a market value equal to its book value. Currently the firm has excess cash of 1000 other assets of 5000 and equity
A firm has a market value equal to its book value. Currently the firm has excess cash of 1000 other assets of 5000 and equity of 6000. The firm has 600 shares of stock outstanding and net income of 500. The firm has decided to spend half of its excess cash on a share repurchase program. How many shares of stock will be outstanding after the stock repurchase is completed? 510 shares 590 shares 570 shares 550 shares 530 shares
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