Question
ABC is an unlevered firm. Its share price is $24.5 per share with 50,357 shares outstanding. ABC announces that it will borrow perpetual debt of
ABC is an unlevered firm. Its share price is $24.5 per share with 50,357 shares outstanding. ABC announces that it will borrow perpetual debt of $461,471 to repurchase its stocks. If its tax rate is 34.7%, calculate the number of shares repurchased.
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Finance Applications And Theory
Authors: Marcia Cornett, Troy Adair, John Nofsinger
1st Edition
0073382256, 9780073382258
