Dinder Mufflin is a Pennsylvania-based paper company. Dinder Mufflin is all equity financed. Its shares are trading for $7.67 and it has 433 million shares outstanding
The company has excess cash of $831.36 million that it wants to distribute using a fixed-price tender offer. It has announced that it will pay $9.60 per share and that it seeks to buy back 20% of outstanding shares. What will the stock price be after the repurchase?
A) $5.2083
B) $7.1875
C) $9.5875
D) $11.9875
E) $13.1875
B
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A predictive analysis technique in which variables are used to predict the level of another by use of the straight-line formula, y= a + bx is:
A) chi-square B) Pearson correlation C) digression analysis D) regression analysis E) summarization analysis
The hit ratio is the number of variables found to be significant by the discriminant analysis
Indicate whether the statement is true or false
Advantage, Inc., a tennis equipment manufacturer, has variable costs of $0.60 per unit of product. In August, the volume of production was 27,000 units, and units sold were 21,800. The total production costs incurred were $30,600. What are the fixed costs per month?
A) $14,400 B) $17,520 C) $3600 D) $16,200
Under the effective interest rate method of amortization, what is the correct formula to calculate the interest paid?
a. Interest paid = Carrying Value × Stated rate of interest b. Interest paid = Face value × Market rate of interest at issuance × Term of the bond c. Interest paid = Carrying value × Market rate of interest at issuance × Time outstanding d. Interest paid = Face value × Stated rate of interest × Time outstanding