Question
The balance sheet for Throwing Copper, Inc., is shown here in market value terms. There are 27,000 shares of stock outstanding. Market Value Balance Sheet
The balance sheet for Throwing Copper, Inc., is shown here in market value terms. There are 27,000 shares of stock outstanding. Market Value Balance Sheet Cash $ 110,000 Fixed assets 519,100 Equity $ 629,100 Total $ 629,100 Total $ 629,100 The compay has announced it is going to repurchase $24,300 worth of stock instead of paying a dividend of $.90. What effect will this transaction have on the equity of the firm? (Input the answer as positive value. Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.) Will shareholders equity by $ How many shares will be outstanding after the repurchase? (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.) New 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.) Share price $
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