A Cash Payment Made by a Firm to Its Owners

question 233

Multiple Choice

A cash payment made by a firm to its owners when some of the firm's assets are sold off is called a(n) :

• A) Liquidating dividend.
• B) Regular cash dividend.
• C) Special dividend.
• D) Extra cash dividend.
• E) Share repurchase.

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Definitions:

Precautions

Measures taken in advance to prevent potential dangers or problems.

Economic Espionage Act

A U.S. law that makes the theft or misappropriation of a trade secret a federal crime when intended to benefit a foreign government, foreign instrumentality, or foreign agent.

Trade Secrets

Confidential business information that provides an enterprise a competitive edge and is often not disclosed to the public.

Misappropriations

involves the wrongful, illegal, or unauthorized use of funds or assets for purposes other than those intended by the owner or rightful possessor.