Flour Mills is a fully-capital company with a total market value of $891,860. The company has 38,000 shares outstanding. Management is considering issuing $275,000 of debt at an interest rate of 7.5 percent and using the proceeds on a share buyback. Ignore taxes. How many shares can the company buy back if it issues the debt securities? (Round the number of shares repurchased to the nearest whole share.)

Answer rating: 100% (QA)

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