Please answer and explain.

6. DB, Inc. is publicly traded with a stock price of $60 per share and 200,000,000 shares outstanding. It also expects to have earnings of $200,000,000. DB has $1 billion in surplus cash that it wants to pay to shareholders. One option is to pay a special dividend The other option is to repurchase stock with the cash. Evaluate the two alternatives below (ignoring any information effects): W1 a. What is the price of the company's stock if it announces i. a special dividend will paid (with all $1 billion) ii. stock will be repurchased (totaling $1 billion) on the open market b. What is the EPS of the company if it i. pays a special dividend with all $1 billion ii. repurchases stock totaling $1 billion on the open market c. What is the P/E ratio of the company if it i. pays a special dividend with all $1 billion 11. repurchases stock totaling $1 billion on the open market d. Give two reasons why the company should choose to pay the special dividend and two reasons why the company should repurchase the stock