Question
Pukri ltd is deciding whether to payout r90000 in excess cash in the form of an extra dividend or a share repurchase.Current profits are R2,40
Pukri ltd is deciding whether to payout r90000 in excess cash in the form of an extra dividend or a share repurchase.Current profits are R2,40 per share and the share sells for R20.The abbreviated balance sheet before payong out the dividend is
Equity 240 000 Bank Cash 90000
Debt 160 000 Other Assets 310 000
Calculate
1 the new share price
2 Earnings per share
3 Price Earnings ratio
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Auditing And GRC Automation In SAP
Authors: Maxim Chuprunov
1st Edition
3642353010, 9783642353017
