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The balance sheet for Tempest, Inc., is shown here in market value terms. There are 26,000...

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Finance

The balance sheet for Tempest, Inc., is shown here in marketvalue terms. There are 26,000 shares of stock outstanding.

Market Value Balance Sheet
Cash$156,000
  Fixed assets514,800  Equity$670,800
      Total$670,800      Total$670,800

  

The compay has announced it is going to repurchase$26,000 worth of stock instead of paying a dividend of $1.00.
a.What effect will this transaction have on the equity of thefirm? (Input the answer as positive value. Do not roundintermediate calculations and round your answer to the nearestwhole number, e.g., 32.)
b.How many shares will be outstanding after the repurchase?(Do not round intermediate calculations and round youranswer to the nearest whole number, e.g., 32.)
c.What will the price per share be after the repurchase?(Do not round intermediate calculations and round youranswer to 2 decimal places, e.g., 32.16.)

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