All of the Following Are Reasons That a Corporation May

question 159

Multiple Choice

All of the following are reasons that a corporation may purchase treasury stock except

• A)it needs the stock for its employee stock bonus program.
• B)it desires to make an investment in its own stock.
• C)to buy out the ownership of stockholders.
• D)to increase the reported amount of earnings per share.

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Definitions:

Discharge Valves

Components in a system that allow for the controlled release of substances (gas, liquid, etc.) from a pressure vessel or system.

Rings Passing

A condition in an engine when the piston rings do not properly seal, allowing oil or fuel to pass into the combustion chamber.

Audible Air Leak

A situation where air is escaping from a pneumatic system, such as brakes or suspension, identified by a sound indicating a potential malfunction.