Question
The balance sheet for Ferguson Corp. is shown here in market value terms. There are 10,000 shares of stock outstanding. Market Value Balance Sheet Cash
| The balance sheet for Ferguson Corp. is shown here in market value terms. There are 10,000 shares of stock outstanding. |
| Market Value Balance Sheet | ||||||
| Cash | $ | 45,700 | Equity | $ | 555,700 | |
| Fixed assets | 510,000 | |||||
| Total | $ | 555,700 | Total | $ | 555,700 | |
| Instead of a dividend of $1.80 per share, the company has announced a share repurchase of $18,000 worth of stock. |
| How many shares will be outstanding after the repurchase? (Do not round intermediate calculations. Round your final answer to 2 decimal places, e.g., 32.16.) |
| Shares outstanding |
| What will the price per share be after the repurchase? |
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The New Finance Overreaction Complexity And Their Consequences
Authors: Robert A. Haugen
4th International Edition
0132775875, 9780132775878
