Assume That PP Is Considering Changing from Its Original Capital

question 56

Multiple Choice

Assume that PP is considering changing from its original capital structure to a new capital structure with 35% debt and 65% equity.This results in a weighted average cost of capital equal to 9.4% and a new value of operations of $510,638.Assume PP raises $178,723 in new debt and purchases T-bills to hold until it makes the stock repurchase.PP then sells the T-bills and uses the proceeds to repurchase stock.How many shares remain after the repurchase, and what is the stock price per share immediately after the repurchase?

• A)7,500; $71.49
• B)7,000; $59.57
• C)6,500; $51.06
• D)6,649; $53.33
• E)6,959; $58.78

Identify methods to effectively manage or utilize the grapevine for organizational benefit.

Recognize the influence of physical appearance and space in non-verbal communication.

Understand the broader implications of rumors on organization performance and employee behavior.

Understand the concept of primary and conditioned reinforcers.

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Definitions:

Diversity

The representation of a range of different identities and differences (such as ethnicity, gender, age, sexual orientation, disability, and cultural background) within a group or organization.

In-group Collectivism

The tendency of individuals in a group to prioritize and value the goals, needs, and well-being of the group over individual concerns.

Devoted

Showing strong loyalty or affection towards something or someone, often leading to dedicated and enthusiastic support or service.

Organizations

Structured groups of people who come together to achieve common goals.