Which Statement About a "Share Buyback" Is Correct

question 69

Multiple Choice

Which statement about a "share buyback" is correct?

• A)The EPS of the company will decrease after a share buyback.
• B)Share buy-back decreases the information asymmetry for investors.
• C)It is an administratively cumbersome way to award stock compensation.
• D)Accounting is the same whether repurchased shares are cancelled or not.

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