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Vezuvo Technologies has $75 million in excess cash and no debt. The firm expects to generate additional free cash flows of $50 million per year in subsequent years and will pay out these future free cash flows as regular dividends. Vezuvo's unlevered cost of capital is 10% and there are 10 million shares outstanding. Vezuvo's board is meeting to decide whether to pay out its $75 million in excess cash as a special dividend or to use it to repurchase the firm's shares.
-Assume that Vezuvo uses the entire $75 million to repurchase shares. The number of shares that Vezuvo will repurchase is closest to:
Quantifier
A term used in logic to specify the quantity of specimens in the domain of discourse that satisfy a certain condition.
Quantifier
A logical symbol that specifies the quantity of specimens in the domain of discourse that satisfy an open formula.
Categorical Proposition
A proposition that asserts or denies something about every member of a category.
Quality
An attribute, characteristic, or property that determines the nature of something, often distinguishing it from others.
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