The balance sheet for Quinn Corporation is shown here in market value terms. There are 27,000 shares of stock out Market Value Balance Sheet $ 110,000 519,100 $ 629,100 Cash Fixed assets Total. Equity Total $ 629,100 $ 629,100 The compay has announced it is going to repurchase $24,300 worth of stock instead of paying a dividend of $.90. a. What effect will this transaction have on the equity of the firm? Note: Input the answer as positive value. Do not round intermediate calculations and round your answer to whole number, e.g., 32. b. How many shares will be outstanding after the repurchase?
The balance sheet for Quinn Corporation is shown here in market value terms. There are 27,000 shares of stock out Market Value Balance Sheet $ 110,000 519,100 $ 629,100 Cash Fixed assets Total. Equity Total $ 629,100 $ 629,100 The compay has announced it is going to repurchase $24,300 worth of stock instead of paying a dividend of $.90. a. What effect will this transaction have on the equity of the firm? Note: Input the answer as positive value. Do not round intermediate calculations and round your answer to whole number, e.g., 32. b. How many shares will be outstanding after the repurchase?
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter15: Financial Statement Analysis
Section: Chapter Questions
Problem 55E: Rebert Inc. showed the following balances for last year: Reberts net income for last year was...
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