Which Statement Is Correct

question 71

Multiple Choice

Which statement is correct?

• A)Cash dividends and stock repurchases are treated equally for tax purposes.
• B)In total dollars, cash dividends outweighed stock repurchases for the period 2003-2013.
• C)Many firms either ceased paying or decreased their dividends per share in response to the 2003 change in dividend taxation.
• D)Firms tend to prefer cash dividends over share repurchases for their flexibility and tax benefits.
• E)A non-dividend-paying firm is more apt to do a stock repurchase than to commence paying dividends.

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Definitions:

Number of Sellers

Refers to the total count of providers or vendors of a particular good or service in the market.

Price of Air Conditioners

The amount of money required to purchase air conditioning units, influenced by factors such as brand, technology, energy efficiency, and market demand.

Temperature

A measure of the warmth or coldness of an object or substance with reference to some standard value.

Convection Oven

An oven that uses a fan to circulate hot air around food, cooking it more evenly and often more quickly than a conventional oven.