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Suppose an all-equity financed company has 400,000 shares of stock currently outstanding. Each share currently has a true value of $40. Suppose the company uses

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Suppose an all-equity financed company has 400,000 shares of stock currently outstanding. Each share currently has a true value of $40. Suppose the company uses internal cash to repurchase 100,000 shares of stock. What will the effect on the true value of each share be if the company repurchases shares at a price of $50 per share? What will the effect on the true value of each share be if the company repurchases shares at a price of $40 per share? What will the effect on the true value of each share be if the company repurchases shares at a price of $30 per share

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