Stock repurchase
plan.
Southern Railroad has announced a
$4 comma 200 comma 0004,200,000
stock repurchase plan over the next month. The current price of Southern Railroad stock is
$15.2515.25
per share, and
14 comma 000 comma 00014,000,000
shares are outstanding. How many shares is Southern expecting to buy? What is the cash dividend that the company could pay with the repurchase money? If you were a shareholder with
15001500
What is the cash dividend that the company could pay with the repurchase money?