What would be the effect on book value per share and earnings per share if the corporation purchased its own shares in the open market at a price greater than book value per share?

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When a corporation buys back its shares at a price greater than the book value per share, the book value per share decreases because the company is using more equity to buy back the shares than the book value they represent. However, earnings per share (EPS) can increase because there are fewer shares outstanding, which means the same earnings are spread over fewer shares.

What Would Be the Effect on Book Value Per Share