Using Forward Transactions Allows

question 16

Multiple Choice

Using forward transactions allows

• A)holders of common stock to lock in future dividend payments.
• B)the federal government to stabilize fluctuations in tax receipts.
• C)corporations to reduce problems arising from future fluctuations in their dividend payments.
• D)both buyers and sellers to reduce risks associated with price fluctuations.

---

Definitions:

Incoming Information

Data or facts received or perceived, often requiring processing or analysis.

Parallel Processing

The ability of the brain to simultaneously process incoming stimuli of differing quality, a fundamental mechanism of the nervous system.

Remembered Event

An event from the past that is recalled from memory, which can be subject to biases and alterations over time.

Encoding

The process of converting information into a form that can be stored in memory.