A Corporation That Has an Automatic Reinvestment Plan

question 83

Multiple Choice

A corporation that has an automatic reinvestment plan:

• A)Forces shareholders to automatically reinvest dividends in the company
• B)Never physically pays out declared dividends
• C)Helps investors plan their investment portfolio
• D)Gives shareholders the option to automatically reinvest dividends in the company

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Definitions:

Flexibility

Flexibility in business operations refers to the ability to adapt to changes, modify schedules, and adjust processes quickly in response to new conditions or demands.

Workforce

The collective group of individuals engaged in work or employment, forming the human resources of an organization, company, or nation.

Maximize Profit

A strategy aimed at making the highest possible profit by optimizing sales, pricing, and cost efficiency.

Satisfy Demand

The process of meeting customers' needs and desires for products or services through successful production and distribution strategies.