Which of the Following Statements Is True

question 27

Multiple Choice

Which of the following statements is true?

• A)Executives and other insiders benefit most by being able to tender their shares in an open market repurchase since they usually are privy to information that is not available to the
• General public.
• B)Dividend payments are attractive to executives who hold many executive stock options that were awarded to them by their firms.
• C)Empirical research suggests that small, retail investors prefer stock repurchases to dividend payments.
• D)If a firm does not pay dividends, some institutional investors are prohibited from investing it the firm's equity.

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Definitions:

Initial Learning

The first stage in the learning process, where the basics of a task or knowledge are acquired.

Second-Order CR

A conditioned response elicited by a stimulus that has been associated with another stimulus already established as a conditioned stimulus.

CS

In psychology, CS stands for Conditioned Stimulus, a previously neutral stimulus that, after becoming associated with the unconditioned stimulus, eventually comes to trigger a conditioned response.

US

in the context of conditioning, stands for the Unconditioned Stimulus, which automatically triggers a response without any learning needed.