A Firm Has $200 Million of Assets That Includes $50

question 46

Multiple Choice

A firm has $200 million of assets that includes $50 million of cash and 8 million shares outstanding.If the firm uses $20 million of its cash to repurchase shares,what is the new price per share?

• A)$25
• B)$27
• C)$30
• D)$32
• E)$35

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Definitions:

Fourth Grader

A student who is in the fourth grade, typically around 9 to 10 years old, subject to curriculum standards that include various basic subjects.

Probability

The likelihood or chance of an event occurring, ranging from 0 (impossibility) to 1 (certainty).

Given Information

Any data, facts, instructions, or starting points provided as the basis for understanding or making decisions.

P(A / B)

A conditional probability representing the likelihood of event A occurring given that B has occurred.