Scarcity

question 5

Multiple Choice

Scarcity

• A)exists because people have wants that are unlimited relative to the availability of resources to satisfy those
• Wants
• B)applies when a resource is not freely available
• C)means that each society and each individual must make choices
• D)exists in all societies
• E)all of the above are true

---

Definitions:

Depressed Stock Price

Refers to the condition of a stock's market price being significantly lower than its perceived value or historical averages, often due to external factors.

Capital Restructure

The process of changing a company's debt-to-equity ratio or its capital structure through methods like issuing new securities, repurchasing shares, or swapping debt for equity.

Stock Dividend

A form of dividend payment made by a corporation to its shareholders in the form of additional shares, rather than cash.

Retained Earnings

The portion of a company's profits not distributed as dividends to shareholders but retained for reinvestment in the business.