Calculation:

1. Current book value of equity:

   \text{Current BVE} = \`$20` \times 9,000,000 = \`$180`,000,000

2. Cash used for repurchase:

   \text{Cash used} = 400,000 \times \`$25` = \`$10`,000,000

3. New book value of equity:

   \text{New BVE} = \`$180`,000,000 - \`$10`,000,000 = \`$170`,000,000

4. New shares outstanding:

   $$\text{New shares} = 9,000,000 - 400,000 = 8,600,000$$

5. New book value per share:

   \text{New BVPS} = \frac{\`$170`,000,000}{8,600,000} = \`$19.77`

Since the market price ($25) is greater than the current BVPS ($20), the buyback decreases BVPS. The closest option is $19.77.