Use the Information for the Question(s)below

question 10

Multiple Choice

Use the information for the question(s) below.
Luther is a successful logistical services firm that currently has $5 billion in cash.Luther has decided to use this cash to repurchase shares from its investors,and has already announced the stock repurchase plan.Currently Luther is an all-equity firm with 1.25 billion shares outstanding.Luther's shares are currently trading at $20 per share.
-With perfect capital markets,what is the market price per share of Luther's stock after the share repurchase?

• A)$25
• B)$24
• C)$15
• D)$20

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A statement or assertion that expresses a judgment or opinion, or in logic, a declarative sentence that is either true or false.

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Truth refers to the state or quality of being in accordance with fact or reality.