Question: Please help me solve this AMS Company has unexpectedly generated a one-time extra $8 milion in cash flow this year. Alter announcing the extra cash
AMS Company has unexpectedly generated a one-time extra $8 milion in cash flow this year. Alter announcing the extra cash fox AMS stock price $85 bar share (asilion standing. The managers we considering spending the 55 million on a project it would generate a single cash fow of $6.5 million in one year, which they would then to purchase the com apital for the project is 145 if they decide on the neatment, what will happen to the price per share? they inwind use the 36 million to repurchase lock immediately what will the proper she Which decision is better and why
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