Dye Trucking raised 140 million in new debt and used this to

Dye Trucking raised $140 million in new debt and used this to buy back stock. After the recap, Dye\'s stock price is $5. If Dye had 50 million shares of stock before the recap, how many shares does it have after the recap? Do not round intermediate calculations. Enter your answer in millions. For example, an answer of $1.2 million should be entered as 1.2, not 1,200,000.

Solution

shares after recap=shares before recap- buyback of shares
=(50*10^6)-(140*10^6/5)
=22,000,000

The answer is 22mn