Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The balance sheet for Sinking Ship Corp. is shown here in market value terms. There are 5,000 shares of stock outstanding. Instead of a dividend
The balance sheet for Sinking Ship Corp. is shown here in market value terms. There are 5,000 shares of stock outstanding. Instead of a dividend of $1.60 per share, the company has announced a share repurchase of $8,000 worth of stock. How many shares will be outstanding after the repurchase? What will the price per share be after the repurchase? (8 points) Show your calculations to get credit. Answers without numeric calculations will not get credit. Market Value Balance Sheet Cash $ 44,700 Equity Fixed assets 410,000 $ 454,700 Total $ 454,700 Total $ 454,700
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started