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Lee manufacturings value of operations is equal to 850

Lee Manufacturing's value of operations is equal to $850 million after a recapitalization (the firm had no debt before the recap). Lee raised $150 million in new debt and used this to buy back stock. Lee had no short-term investments before or after the recap. After the recap, wd = 20%. The firm had 20 million shares before the recap. What is P (the stock price after the recap)?

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Finance Basics: Lee manufacturings value of operations is equal to 850

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