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Calculate what the likely price per share would be if Yahoo! Inc. announced that it would sell their entire stakes in Alibaba Group ( at
Calculate what the likely price per share would be if Yahoo! Inc. announced that it would sell their entire stakes in Alibaba Group at the same price it sold the million shares and Yahoo Japan at $share and distribute the proceeds as a special cash dividend. Assume that of the proceeds from both sales are ordinary gains subject to the statutory tax rate of when you perform your calculations. Is the stock cheap at $share Is the stock cheap at $share
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