Stock repurchase The following data on the Bond Record Company are available: . The firm is currently considering whether it should use $450,000 (not included in the $900,000 earnings listed in the financial data) of its earnings to help pay cash dividends of $1.00 per share or to repurchase stock at $30 per share. a. Approximately how many shares of stock can the firm repurchase at the $30-per-share price, using the funds that would have gone to pay the cash dividend? b. Calculate the EPS after the repurchase. c. In a perfect market, what is the stock price after the repurchase and what is the P/E ratio? d. Compare the pre- and post-repurchase earnings per share. \begin{tabular}{lr} \hline Earnings available for common stockholders & $900,000 \\ Number of shares of common stock outstanding & 450,000 \\ Earnings per share ($900,000450,000) & $2 \\ Market price per share & $30 \\ Price/earnings (P/E) ratio ($30$2) & 15 \\ \hline \end{tabular}