Apex Analytics is an all$-$equity firm with $50$ million shares outstanding. Apex has $$30$ million in cash, and expects future free cash flows of $$8$ million per year. The cash can be used to expand the firm's future operations, increasing future free cash flows to $$10$ million per year. If Apex's cost of capital for the expansion is $8\%,$ what will be the difference in the firm's share price compared to using the cash for a share repurchase?

Question $33$ options:

a$)$

Share price is $$0\mathrm{.}10$ higher with repurchase.

b$)$

Share price is $$0\mathrm{.}10$ higher with expansion.

c$)$

Share price is the same with both options.

d$)$

Share price is $$0\mathrm{.}50$ higher with expansion.

e$)$

Share price is $$0\mathrm{.}50$ higher with repurchase.