Question
The balance sheet for Levy Corp. is shown here in market value terms. There are 8,000 shares of stock outstanding. Market Value Balance Sheet Cash
| The balance sheet for Levy Corp. is shown here in market value terms. There are 8,000 shares of stock outstanding. |
| Market Value Balance Sheet | ||||||
| Cash | $ | 44,000 | Equity | $ | 384,000 | |
| Fixed assets | 340,000 | |||||
| Total | $ | 384,000 | Total | $ | 384,000 | |
| Instead of a dividend of $1.70 per share, the company has announced a share repurchase of $13,600 worth of stock. |
| How many shares will be outstanding after the repurchase? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) |
| Shares outstanding |
| What will the price per share be after the repurchase? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) |
| New stock price | $ |
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Advanced Accounting
Authors: Joe Hoyle, Thomas Schaefer, Timothy Doupnik
10th edition
0-07-794127-6, 978-0-07-79412, 978-0077431808
