When a Corporation Engages in a 10% Stock Repurchase,it

question 27

Multiple Choice

When a corporation engages in a 10% stock repurchase,it:

• A) offers shareholders 110 shares for every 100 they currently own.
• B) purchases for cash 10% of the outstanding shares.
• C) sells treasury stock at a 10% discount to investors.
• D) issues 10% more stock but holds the shares as treasury shares.

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