The market value of Scorpion Corporation equals its book value. Currently, the firm has excess cash of $$1,100$ and other assets of $$12,400.$ Equity is worth $$13,500.$ The firm has $2,500$ shares of stock outstanding and net income of $$10,800.$ What will be the new earnings per share if the firm uses its excess cash to complete a stock repurchase?

The market value of Scorpion Corporation equals its book value. Currently, the firm has excess cash of $$1,100$ and other assets of $$12,400.$ Equity is worth $$13,500.$ The firm has $2,500$ shares of stock outstanding and net income of $$10,800.$ What will be the new earnings per share if the firm uses its excess cash to complete a stock repurchase?

$$4\mathrm{.}82$

$$4\mathrm{.}50$

$$4\mathrm{.}70$

$$4\mathrm{.}32$

$$4\mathrm{.}40$