A company with 20 million shares outstanding decides to repurchase 2 million shares at the prevailing market price of h30 per share. At the time of the buyback, the company reports total assets of h850 million and total liabilities of h250 million. As a result of the buyback, that company’s book value per share will most likely
A. increase.
B. decrease.
C. remain the same.
Answer: C. remain the same.
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