From the Firm's Point of View, a Major Advantage of Share

question 92

Multiple Choice

From the firm's point of view, a major advantage of share repurchases over cash dividends is

• A)a commitment to maintain or increase repurchases every year.
• B)a stronger signal about the firm's financial strength.
• C)that they restrain agency costs.
• D)that the repurchases imply no commitment to pay the same amount or more every year.

---

Definitions:

Immediate Awareness

The state of being consciously and directly cognizant of events, stimuli, or sensations as they occur in real-time.

Personality Structure

The organization of enduring personality traits and patterns that influence behavior and interactions.

Birth

The process of being born or giving birth, marking the beginning of life outside the womb.

Id

Within the framework of psychoanalytic theory, this aspect of the mind is where the natural instinctual drives and fundamental processes become apparent.