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Airbnb is an all-equity firm with 45 million shares outstanding, which are trading at $15 per share. Yesterday, Airbnb announced that it will change its

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Airbnb is an all-equity firm with 45 million shares outstanding, which are trading at $15 per share. Yesterday, Airbnb announced that it will change its capital structure by issuing $190 million in debt. The $190 million raised by this issue, plus another $50 million in cash that Airbnb already has, will be used to repurchase existing shares of stock. Assume that capital markets are perfect. At the conclusion of this transaction, the value of a share of Airbnb will be closest to: Select one: O a. $25.00 O b. $18.33 c. $15.00 O d. $20.00 Clear my choice

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