A company with: -Market cap of $100 -100 shares outstanding -Excess capital of $50 If the company buys back 50 shares for $1 / each, the market cap of the company will be ______ $100.
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A company with: -Market cap of $100 -100 shares outstanding -Excess capital of $50 If the company distributes $50 in dividends to shareholders, the market cap of the company will be ______ $100.
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Replying to @EconomPic
Less than in both cases right? The fact people said “equal to” on buybacks makes me feel like I might be an idiot. I must know.
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