Assuming no market imperfections,which of the following will not be affected by a repurchase of shares?
A) Assets of the firm
B) Equity of the firm
C) Shares outstanding
D) Price per share

Question

Quizplus · Accepted Answer

The price per share is not directly affected by a repurchase of shares, as the repurchase reduces the number of shares outstanding, potentially increasing the price per share if the market perceives the repurchase as a positive signal.

Assuming No Market Imperfections,which of the Following Will Not Be