Question

In: Finance

A close substitute for paying dividends to common stockholders is when a company pays interest on...

A close substitute for paying dividends to common stockholders is when a company

  • pays interest on its bonds

  • repurchases its common stock from investors

  • sends out preemptive rights

  • buys new plant and equipment

Solutions

Expert Solution

Option B

A close substitute for paying dividends to common stockholders is when a company repurchases its common stock from investors


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