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C. One of the directors is suggesting share repurchase. He argues that a repurchase will increase the company's PE ratio, return on assets and

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C. One of the directors is suggesting share repurchase. He argues that a repurchase will increase the company's PE ratio, return on assets and return on equity. Are his arguments correct? How will a share repurchase affect the value of the company? D. While the general manager also suggested to increase the regular dividend payment to shareholders. How would you evaluate this proposal?

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