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Explain how a stock buyback would affect enterprise

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Reference no: EM132825942

The price of a tradable security, like a stock or a bond, is equal Additivity Principle to the PV of its cash flows. Given that, what is the theoretical NPV of a stock or bond purchase? Using the concept of the , explain how a stock buyback would affect the enterprise value of a company.

Reference no: EM132825942

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