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Flychucker Corporation is evaluating an extra dividend versus a share repurchase. In either case $4,200 would be spent. Current earnings are $1.60 per share, and

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Flychucker Corporation is evaluating an extra dividend versus a share repurchase. In either case $4,200 would be spent. Current earnings are $1.60 per share, and the stock currently sells for $70 per share. There are 700 shares outstanding. Ignore taxes and other imperfections. a. What will be the effect on Flychucker's EPS and PE ratio under the two different scenarios? (Do not round the intermediate computations. Round the nal answers to 2 decimal places. Use unrounded EPS value for computing PIE ratio.) Extra Dividend Share Repurchase EPS $ $ PE Ratio

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