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Big Industries has the following market - value balance sheet. The stock currently sells for $ 2 0 a share, and there are 1 ,

Big Industries has the following market-value balance sheet. The stock currently sells for $20 a share, and there are 1,380 shares outstanding. The firm will either pay a $1 per share dividend or repurchase $1,380 worth of stock. Ignore taxes.
Assets Liabilities and Equity
Cash $ 9,600 Debt $ 11,900
Fixed assets 29,900 Equity 27,600
A. What will be the subsequent price per share if the firm pays a dividend?
B. What will be the subsequent price per share if the firm repurchases stock?
Note: Round your answer to the nearest dollar.
C. f total earnings of the firm are $48,300 a year, find earnings per share if the firm pays a dividend.
Note: Do not round intermediate calculations. Round your answer to 3 decimal places.
D. If total earnings of the firm are $48,300 a year, now find earnings per share if the firm repurchases stock.
Note: Do not round intermediate calculations. Round your answer to 3 decimal places.
E. If total earnings of the firm are $48,300 a year, find the price-earnings ratio if the firm pays a dividend.
Note: Do not round intermediate calculations. Round your answer to 2 decimal places.
F. If total earnings of the firm are $48,300 a year, find the price-earnings ratio if the firm repurchases stock.
Note: Do not round intermediate calculations. Round your answer to 2 decimal places.
G. Adherents of the dividends-are-good school sometimes point to the fact that stocks with high dividend payout ratios tend to sell at above-average price-earnings multiples. Is Big Industries P/E ratio higher if it pays a dividend?
A. Stock Price _________ per share
B. Stock Price ___________ per share
C. EPS____________________________
D. EPS_______________
E. Price-earnings ratio_____________
F. Price-earnings ratio___________
G. Is big industries' P/e ratio higher if it pays a dividend?

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