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Mooncorp is an industrial company, which has a market copitalization of $2 billion. It has 93 million shares outstanding without any debts. Management has decided
Mooncorp is an industrial company, which has a market copitalization of \$2 billion. It has 93 million shares outstanding without any debts. Management has decided to borrow $0.54 bilion of debt and use the proceeds to pay cash dividends immediately. Suppose you are a shareholder and you disagree with this decision. Assuming a perfect capital market, you can fend $6000 to undo the effect of this decision. The number of shares you hold is closest to: a. 279 shares b. 1033 shares c. 930 shares d. 1137 shares
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