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Question 11 8 points Save Answ A firm is considering two alternatives: dividend versus a share repurchase. In either case, a firm would spend $500,000.

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Question 11 8 points Save Answ A firm is considering two alternatives: dividend versus a share repurchase. In either case, a firm would spend $500,000. Net income of the company is $1,000,000, and the stock currently sells for $50 per share. There are 100,000 shares outstanding. Ignore taxes and other imperfections. c) What will be EPS if a firm decides to use a share repurchase? d) What will be PE ratio if a firm decides to use a share repurchase

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