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HH Corporation has $30 million of excess cash. The firm has no debt and has 12 million shares outstanding with a current market price of

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HH Corporation has $30 million of excess cash. The firm has no debt and has 12 million shares outstanding with a current market price of $33 per share. HHs board has decided to pay out this cash as a one-time dividend. What is the ex-dividend price of a share in a perfect capital market? O A. $33 OB. $30.50 O c. none of the other choices is correct OD $35.50 If the board instead decided to use the cash to do a one-time share repurchase, in a perfect capital market, what is the price of the shares once the repurchase is complete? O A. $30.50 OB. $33 OC. $35.50 OD none of the other choices is correct Suppose that the firm now in addition to the $30 million in excess cash, the firm also has $30 million in debt. As in the first problem, the firm decides ti pay out its cash as a one time dividend. What would be the ex-dividend price of a share in a perfect capital market? O A. $35.50 OB. none of the other choices is correct O c. $30.50 OD. $33

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