Use the Information for the Question(s)below

question 69

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.
-Assume that in addition to 1.25 billion common shares outstanding,Luther has stock options given to employees valued at $2 billion.The market value of Luther's non-cash assets is closest to:

• A)$22 billion.
• B)$20 billion.
• C)$25 billion.
• D)$18 billion.

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Definitions:

Extreme Stress

A very high level of strain or tension resulting from adverse or very demanding circumstances.

Judgment

The cognitive process of forming an opinion or conclusion based on information and reasoning.

Performance

The act of carrying out a task or the level of efficiency with which it is completed.

Basic Emotions

Fundamental emotional states experienced by humans, such as happiness, sadness, fear, disgust, surprise, and anger.