If ABC Corp.is Profitable

question 76

Multiple Choice

If ABC Corp.is profitable,

• A)it must pay dividends to its stockholders
• B)pretax profits are either paid as dividends or reinvested in the corporation
• C)after-tax profits are either paid as dividends or reinvested in the corporation
• D)it is contractually obligated to retain a portion of its earnings
• E)it typically uses the profits to buy back its own stock from the underwriter

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Definitions:

American Iron and Steel Institute

An association of North American steel producers with the mission to promote steel as a material of choice and to advocate for public policies that benefit the industry.

Page Principle

A set of guidelines in public relations that emphasize the importance of truth, action, and public interest in maintaining a positive corporate image.

Burson-Marsteller

A leading global public relations and communications firm known for its strategic approach in managing corporate and crisis communication.

Big Tobacco Companies

Refers to large corporations that manufacture and market tobacco and related products globally.