Devon Ltd. common shares sell at $40 a share and their estimated price-to-earnings ratio (P/E) is 50. If Devon borrows f
Posted: Fri Jul 01, 2022 7:37 am
Devon Ltd. common shares sell at $40 a share and their estimatedprice-to-earnings ratio (P/E) is 50. If Devon borrows funds torepurchase shares at its after-tax cost of debt of 2%, its EPS ismost likely to increase or decrease?