Which of the Following Would Be a Reason for a Company

question 146

Multiple Choice

Which of the following would be a reason for a company to restrict its cash dividends or treasury stock purchases?

• A) Because the company needs treasury stock to offer as performance incentives to upper management
• B) In order to give shareholders stock dividends
• C) Due to the desire of shareholders to retain the company's earnings for future growth and capital expenditures
• D) Due to requirements of lenders or creditors that companies maintain enough equity to meet their obligations

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Definitions:

Terminate

The action of ending or stopping a process, program, or operation in computing.

Break

A statement used to exit from a loop or switch statement before it has finished executing.

Defensive Programming

A programming approach aimed at reducing bugs and problems by anticipating potential issues and systematically handling them throughout the code.

Improper Data

Refers to data that is incorrect, inappropriate, or not in the expected format, potentially leading to errors or issues within an application or system.