When a Company Repurchases Shares of Their Own Common Stock

question 57

Multiple Choice

When a company repurchases shares of their own common stock,

• A)the earnings per share will rise.
• B)the dividends paid out in total will decline.
• C)the earnings per share growth rate will rise.
• D)All of the above will happen

---

Definitions:

Minor Recessions

Brief periods of economic decline during which trade and industrial activity are reduced, generally identified by a fall in GDP in successive quarters.

Full Employment

Full employment is a situation in an economy where all available labor resources are being used in the most efficient way possible, typically when the unemployment rate is low.

American National Railroad

A hypothetical or specific railroad company operating within the United States, involved in the transportation of goods and passengers across the nation. (Note: As of my last update, there's no specific entity known as "American National Railroad," this description assumes a generic interpretation.)

Mass Consumption

A large-scale demand for products or services by a wide range of consumers within an economy.