Which of the Following Statements Is CORRECT

question 29

Multiple Choice

Which of the following statements is CORRECT?

• A) One advantage of dividend reinvestment plans is that they enable investors to avoid paying taxes on the dividends they receive.
• B) If a company has an established clientele of investors who prefer a high dividend payout, and if management wants to keep stockholders happy, it should not follow the strict residual dividend policy.
• C) If a firm follows a strict residual dividend policy, then, holding all else constant, its dividend payout ratio will tend to rise whenever the firm's investment opportunities improve.
• D) If Congress eliminates taxes on capital gains but leaves the personal tax rate on dividends unchanged, this would motivate companies to increase their dividend payout ratios.

Identify the evidence required by courts to prove a transaction is usurious.

Explain the concept of public policy and identify agreements that violate public policy.

Distinguish between regulatory and revenue-raising licensing statutes and understand their significance in contract law.

Describe the legal effects of agreements that are criminal, tortious, or contrary to public policy.

---

Definitions:

Automatically Configured

Describes a system or device that sets up or adjusts its settings or parameters without manual intervention, often through software.

CLX Project

A project file or environment within the Rockwell Automation software for programming ControlLogix PLCs.

Complete Application

Refers to a fully developed and functional software or system that is ready for use or deployment.