Use the Information for the Question(s)below

question 93

Multiple Choice

Use the information for the question(s) below.
Big Blue Banana (BBB) is a clothing retailer with a current share price of $10.00 and with 25 million shares outstanding.Suppose that Big Blue Banana announces plans to lower its corporate taxes by borrowing $100 million and using the proceeds to repurchase shares.
-Suppose that BBB pays corporate taxes of 21% and that shareholders expect the change in debt to be permanent.Assuming that capital markets are perfect except for the existence of corporate taxes,the share price for BBB after this announcement is closest to:

• A)$10.00.
• B)$10.84.
• C)$8.60.
• D)$11.40.

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Definitions:

Filter By Selection

A feature in data management software that allows users to filter a dataset based on the value of the selected cell or attribute.

Filter By Form

A database feature allowing users to specify criteria in a form-like interface to filter and display records that match those criteria.

Advanced Filter

An Advanced Filter is a feature in data analysis tools that allows users to apply complex filtering criteria to organize, analyze, or display data.

Wildcard Character

A symbol used in search functions to represent one or more characters, allowing for broader search criteria.