Fitzroy Ltd. is a firm with 50 million shares outstanding and a corporate tax rate of 20%. Fitzroy has just announced that it will give $75 million that it has in excess cash to its shareholders via a special cash dividend. However, its shareholders always thought that the company would keep this excess cash forever. The change in Fitzroys stock price as a result of this announcement is closest to:

Question 9 options:

	$0.30
	$0.50
	$0.80
	$1.10
	None of the above