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Chapter 9, Problem 32P

a.

Summary Introduction

To determine: The change in stock price.

Introduction:

Stock price: The stock is the price of the single purchasable/saleable share.  Basically a stock price is the highest amount that the person willing to pay for the share and lowest amount that can purchased.

b.

Summary Introduction

To find: Whether stock will be expected to sell after hearing announcement and make profit after hearing announcement.

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Chapter 9 Solutions

Corporate Finance Plus MyLab Finance with Pearson eText -- Access Card Package (4th Edition) (Berk, DeMarzo & Harford, The Corporate Finance Series)

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