Which of the Following Is the Least Likely Consideration That

question 121

Multiple Choice

Which of the following is the least likely consideration that management uses when deciding whether to pay a dividend?

• A) Does the company have more cash than it has opportunities?
• B) Is the company's average number of common shares outstanding decreasing?
• C) Does the company have uses for cash that will increase its value?
• D) What are the company's cash needs?

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Definitions:

Quantity of Gold Bars

The total number or weight of gold bars held or transacted.

Renewable Natural Resource

A resource that can replenish itself naturally over time, such as solar energy, wind, and biomass.

Aquifers

Underground layers of water-bearing permeable rock or materials through which groundwater can be extracted using a well.

Renewable Natural Resources

Things such as forests, water in reservoirs, and wildlife that are capable of growing back or building back up (renewing themselves) if they are harvested at moderate rates.