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Consider an all-equity firm with no debt. The firm plans to use some of its cash to repurchase stock. Assuming perfect markets and no personal
Consider an all-equity firm with no debt. The firm plans to use some of its cash to repurchase stock. Assuming perfect markets and no personal taxes, a stock repurchase will:
A. reduce the total equity of the firm. B. decrease earnings per share. C. reduce the stock price.
B only
A and C only
B and C only
A only
C only
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