The Equity of Blooming Roses Has a Total Market Value

The equity of Blooming Roses has a total market value of $148,900. Currently, the firm has excess cash of $4,200 and net income of $21,400. There are 1,100 shares of stock outstanding. What will be the percentage change in the stock price per share if the company pays out all of its excess cash as a cash dividend?

A) −3.14 percent
B) −2.82 percent
C) −2.75 percent
D) −3.08 percent
E) 0 percent