2. Quaker State Wings has 325,000 shares outstanding and net income of $985,000. The company stock is currently selling for $62.84 per share. If the company repurchases $635,000 of its stock, what is the earnings per share after the repurchase?

b.Boats and Bait has 78,000 shares outstanding that sell for a price of $74 per share. The stock has a par value of $2 per share. The company's balance sheet shows capital surplus of $185,000 and retained earnings of $225,000. If the company declares a stock dividend of 17.5 percent, what is the new common stock value on the balance sheet?

C.A firm has a market value equal to its book value. Currently, the firm has excess cash of $300 and other assets of $10,500. Equity is worth $10,800. The firm has 900 shares of stock outstanding and net income of $1,200. What will the new earnings per share be if the firm uses its excess cash to purchase a stock repurchase?

D.Bo's Home Manufacturing has 340,000 shares outstanding that sell for $45.25 per share. The company has announced that it will repurchase $54,000 of its stock. What will the share price be after the repurchase?

e.A firm has a market value equal to its book value. Currently, the firm has excess cash of $200 and other assets of $4,200. Equity is worth $4,400. The firm has 550 shares of stock outstanding and net income of $750. The firm has decided to spend all of its excess cash on a share repurchase program. How many shares of stock will be outstanding after the stock repurchase is completed?

Answer rating: 100% (QA)

Here are the stepbystep calculations for each question 2 Quaker State Wings a Number of shares outstanding 325000 b Net income 985000 c Stock price 62... View the full answer