A _____ Is an Alternative Method to Cash Dividends Which

question 73

Multiple Choice

A _____ is an alternative method to cash dividends which is used to pay out a firm's earnings to shareholders.

• A)merger
• B)tender offer
• C)payment-in-kind
• D)stock split
• E)share repurchase

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Definitions:

Total Expenditures

The overall amount spent on goods and services.

Utility Function

A mathematical representation of how individual preferences are aggregated to represent satisfaction or utility from consuming goods and services.

Marginal Utility

The additional satisfaction or benefit received by consuming one more unit of a good or service.

Budget Line

A representation of all possible combinations of two goods that an individual can afford given their income and the prices of the goods.