Use the Information for the Question(s) Below

question 64

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. After the repurchase how many shares will Luther have outstanding?

• A) 1.15 billion
• B) 1.2 billion
• C) 0.75 billion
• D) 1.1 billion

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Definitions:

Task Accomplishment

The successful completion or achievement of a specific task or set of tasks, often measured against predefined goals or standards.

Structural Barrier

Physical or societal obstacles that prevent individuals or groups from accessing certain opportunities or resources, often based on discrimination or entrenched norms.

Performance Measurements

Quantitative or qualitative assessment of how well an individual, group, or system is achieving its goals or objectives.

Supportive Reward Systems

Supportive reward systems are organizational mechanisms designed to recognize and incentivize employee performance and behavior, aligning individual achievements with broader business goals and values.