If the Firm Has Earnings Available to Common Shareholders,it Has

question 43

Multiple Choice

If the firm has earnings available to common shareholders,it has two choices of what to do with these earnings: it can either ________ or ________.

• A)pay dividends to the common shareholders; retain the earnings to finance future projects and investments.
• B)pay dividends to the preferred shareholders; repurchase common stock.
• C)pay dividends to the bondholders; retain the earnings to finance future projects and investments.
• D)pay dividends to the common shareholders; pay dividends to the bondholders.

---

Definitions:

Third Ventricle

A narrow fluid-filled space in the brain, part of the ventricular system that lies between the two halves of the thalamus.

Fourth Ventricle

A structure in the brain that lies within the hindbrain and is responsible for circulating cerebrospinal fluid.

Electroencephalogram

A test that records electrical activity in the brain, used to diagnose and monitor neurological conditions.

Graphic Recording

Graphic recording refers to the real-time process of capturing people's ideas, conversations, and meeting outcomes through text and images on a large visual display.