Rally, Inc., is an all$-$equity firm with assets worth $$46$ billion and $22$ billion shares outstanding. Rally plans to borrow $$12$

billion and use funds to repurchase shares. Rally's corporate tax rate is $25\%,$ and Rally plans to keep its outstanding debt

equal to $$12$ billion permanently.

a$.$ Without the increase in leverage, what would be Rally's share price?

b$.$ Suppose Rally offers $$2\mathrm{.}09$ per share to repurchase its shares. Would shareholders sell for this price?

c$.$ Suppose Rally offers $$2\mathrm{.}42$ per share, and shareholders tender their shares at this price. What will be Rally's share

price after the repurchase?

d$.$ What is the lowest price Rally can offer and have shareholders tender their shares? What will be its stock price after

the share repurchase in that case?

a$.$ Without the increase in leverage, what would be Rally's share price?

Without the increase in leverage, Rally's share price is $ $.($Round to the nearest cent.$)$