Firm b has 100000 shares outstanding that are priced at 20


Firm B has 100,000 shares outstanding that are priced at $20 per share. Prove that the following two actions have the same effect on firm value. A. Pay a $2 cash dividend on each share B. Repurchase 10,000 shares at the current market price (Please show all work).

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Financial Management: Firm b has 100000 shares outstanding that are priced at 20
Reference No:- TGS02304739

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