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Help Save & EX Rational Demiconductor has the following market value balance sheet Rational Demiconductor Balance Sheet (Market Values in S. millions) Surplus cash $

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Help Save & EX Rational Demiconductor has the following market value balance sheet Rational Demiconductor Balance Sheet (Market Values in S. millions) Surplus cash $ 11 $ 0.0 Debt Equity market capitalization Fixed assets and networking capital 26 32 (1 million shares at $37 per share) $ 37 $ 37 Assume that Rational wins a lawsuit and is paid $2 million in cash. Its market capitalization rises by that amount. It decides to pay out $13 per share instead of $1 per share. a. What happens to Rational's stock price if the payout comes as a cash dividend? Now stock price 5 25 b. What happens to Rational's stock price of the payout comes as a share repurchase? (Round your intermediate calculations to the nearest whole number.)

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