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Question 5: (8 pts) The balance sheet for a company is shown here in market value terms. There are 10,000 shares of stock outstanding. (a)

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Question 5: (8 pts) The balance sheet for a company is shown here in market value terms. There are 10,000 shares of stock outstanding. (a) Suppose the company has declared a dividend of $1.47 per share. The stock goes ex dividend tomorrow. Ignore any tax effects, what is the stock selling today? What will it sell for tomorrow? What will the balance sheet look like after the dividend is paid? (b) Suppose the company has announced it is going to repurchase $8,000 worth of stock. What effect will this transaction have on the equity of the firm? How many shares will be outstanding? What will the price per share be after the repurchase

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