Question: c) [5 Points] ABC Publishing is considering a proposed increase in its debt ratio, which will also increase the company's interest expense. The plan would

c) [5 Points] ABC Publishing is considering a proposed increase in

c) [5 Points] ABC Publishing is considering a proposed increase in its debt ratio, which will also increase the company's interest expense. The plan would involve the company issuing new bonds and using the proceeds to buy back shares of its common stock. The company's CFO expects that the plan will not change the company's total assets or operating income. However, the company's CFO does estimate that it will increase the company's earnings per share (EPS). Assuming the CFO's estimates are correct, what do you think will happen to the stock price

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