The balance sheet for Quinn Corporation is shown here in market value terms. There are 8,000 shares of stock outstanding. Cash Fixed assets Total Market Value Balance Sheet $45,600 Equity 500,000 $ 545,600 Total $ 545,600 a. Shares outstanding b. New stock price $ 545,600 Instead of a dividend of $1.90 per share, the company has announced a share repurchase of $15,200 worth of stock. a. How many shares will be outstanding after the repurchase? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. What will the price per share be after the repurchase? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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The balance sheet for Quinn Corporation is shown here in market value terms. There are
8,000 shares of stock outstanding.
Cash
Fixed assets
Total
Market Value Balance Sheet
$ 45,600 Equity
500,000
$ 545,600
Total
$ 545,600
a. Shares outstanding
b. New stock price
$ 545,600
Instead of a dividend of $1.90 per share, the company has announced a share
repurchase of $15,200 worth of stock.
a. How many shares will be outstanding after the repurchase? (Do not round
intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
b. What will the price per share be after the repurchase? (Do not round intermediate
calculations and round your answer to 2 decimal places, e.g., 32.16.)
Transcribed Image Text:The balance sheet for Quinn Corporation is shown here in market value terms. There are 8,000 shares of stock outstanding. Cash Fixed assets Total Market Value Balance Sheet $ 45,600 Equity 500,000 $ 545,600 Total $ 545,600 a. Shares outstanding b. New stock price $ 545,600 Instead of a dividend of $1.90 per share, the company has announced a share repurchase of $15,200 worth of stock. a. How many shares will be outstanding after the repurchase? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. What will the price per share be after the repurchase? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
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