Assume that the current stock price is $45 and the number of shares outstanding for Cisco's stock is 5,100,000,000 shares.

-Dividend per share (DPS)=Dividend/number of shares outstanding.

=$5,875,000,000/5,100,000,000= $1.15

Special dividend scenario: $172,500

Share repurchase scenario: $135,625.39

Rather than selling all remaining shares today, now you decide to consider a more extended holding period. That is, you will sell all remaining shares in 5 years rather than immediately. Assume that the stock price will grow at10% rate per year going forward, regardless of what the starting price is today. Also, assume that Cisco will pay no other dividend over the next 5 years.9. What would be the stock price after 5 years under each scenario (i.e. the dividend and share repurchase scenario)?