Reasons That a Company Would Purchase Treasury Stock Include All

question 144

Multiple Choice

Reasons that a company would purchase treasury stock include all of the following EXCEPT:

• A)management wants to avoid a takeover by an outside party.
• B)it needs the stock for distribution to employees under stock purchase plans.
• C)it wants to increase net assets by buying its stock low and reselling it at a higher price.
• D)management wants to decrease earnings per share of common stock.

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Definitions:

Inattentive

Describes a lack of attention or focus on tasks or activities, which can impact various aspects of life including work, relationships, and daily functioning.

Acceleration

The process of speeding up the educational or developmental timeline for an individual, often by skipping grades or completing coursework at a faster pace than typical.

Gifted

Possessing high ability in one or several domains to a degree that significantly deviates from the norm, requiring special educational provisions.

Fast-Paced Classes

Educational settings or courses designed to cover content at a speed faster than typical classes, requiring quick learning and adaptation from students.