Which of the Following Is Not One of the Four

question 61

Multiple Choice

Which of the following is not one of the four triggering events listed in the text that is the stimulus for a strategic change?

• A) intervention by the organization's bank
• B) annual strategic planning conference
• C) threat of a takeover
• D) new CEO
• E) awareness by management of decreased profitability

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Definitions:

Stock Dividend

Distribution of additional shares of a company's stock to shareholders instead of cash, usually determined as a percentage of the shares already owned.

Total Stockholders' Equity

The total amount of assets remaining in a business after all liabilities are paid off, representing the owners' claim on assets.

Diluted Earnings Per Share

A performance metric that shows the quality of earnings per share if all convertible securities were exercised.