When a Corporation Makes an Offer to Buy Back Shares

question 33

Multiple Choice

When a corporation makes an offer to buy back shares from specific shareholders at an above-market price, it is called a

• A)auction-based repurchase.
• B)targeted repurchase.
• C)open-market repurchase.
• D)tender offer.

---

Definitions:

Standard Deviation

A statistical measure that quantifies the variation or dispersion of a set of numerical values.

Z-Scores

Standardized scores that indicate how many standard deviations an element is from the mean.

Standard Normal Distribution

A probability distribution that has a mean of zero and a standard deviation of one.

Normal Distributions

An evenly balanced probability distribution centered around the mean, where data points close to the mean occur with greater frequency than those at a distance.