Question
What is the effect of a stock repurchase? Company has $5 million in cash from a recent sale of a business unit P = $20
What is the effect of a stock repurchase? Company has $5 million in cash from a recent sale of a business unit P = $20 No= 2 million
a. What is the Vop?
b. What is the number of shares repurchased?
c. What is the number of shares outstanding after repurchase?
d. (All students can discuss) What are the benefits of a stock repurchase?
e. All students can discuss..what are the disadvantages of a stock repurchase?
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Finance For Managers
Authors: E. Martinez Abascal
1st Edition
0077140079, 9780077140076
