Investor A is a shareholder in company Y, and there are 2 million shares outstanding. The investor owns 40,000 shares. Company Y makes a surprise announcement that it plans to repurchase 250,000 shares of its own stock. How many shares will the investor be able to sell if all company Y's shareholders tender their shares to the firm as a part of this repurchase program and the company purchases shares on a pro-rata basis?

Answer rating: 100% (QA)

To determine the number of shares Investor A will be able to sell if all shareholders tender their s... View the full answer