Dividend Policy and Company Value: You Purchased 2,000 Shares of Ace-IT

question 67

Multiple Choice

Dividend policy and company value: You purchased 2,000 shares of Ace-IT several years ago at $50 per share. The company does not pay a regular cash dividend. You want to manufacture your own dividend by selling a little bit of shares each quarter. The company's shares are currently trading at $75. If capital gains are taxed at 15 per cent, how many shares would you have to sell to receive $3,420 in cash?

• A) 27 shares
• B) 46 shares
• C) 48 shares
• D) 51 shares

Understand the influence of physical attractiveness on person perception and performance evaluations.

Recognize the role of evolutionary psychology in explaining biases in person perception.

Define stereotypes and their impact on person perception.

Identify factors that influence first impressions and interpersonal judgments.

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Definitions:

Competition

The rivalry between businesses or individuals striving for the same customers or market.

Monopoly Power

The ability of a single entity to control or dominate an industry or sector, limiting competition.

Antitrust Violation

An offense that occurs when business practices harm competition or create a monopoly, contrary to laws designed to promote fair competition in the market.

Market Share

The percentage of an industry's total sales that is earned by a particular company over a specific time period.