Alfredo Ltd of Ottawa Firm Has a Market Value Equal

Alfredo Ltd of Ottawa firm has a market value equal to its book value. Currently, the firm has excess cash of $1,360 and other assets of $6,640. Equity is worth $8,000. The firm has 500 shares of stock outstanding and net income of $600. The firm has decided to spend all of its excess cash on a share repurchase program. How many shares of stock will be outstanding after the stock repurchase is completed?

A) 382 shares
B) 400 shares
C) 415 shares
D) 445 shares
E) 575 shares