One possible reason that shareholders often insist on higher dividends is Select one: a. they don't...

One possible reason that shareholders often insist on higher dividends is

Select one:

a. they don't want companies to have a lot of excess cash if they can’t find good new projects to invest in.

b. Investors prefer to receive cash back rather than have the company invest more cash in new projects.

c. the dividend tax is always low.

d. the capital gains tax is always higher than dividend tax.

Generally, firms engage in stock repurchases during

Select one:

a. recessions due to low stock prices and times when competitors’ stock prices are dropping.

b. Economic upturns as strong profits results in firms starting to have excess cash

c. times when competitor's stock prices are dropping.

d. recessions due to low stock prices.

Solutions

Expert Solution

the question is related to the reason that shareholders often insist on higher dividends and when firms engaged in stocks repurchases.

jeff jeffy answered 1 year ago

Next > < Previous

Related Solutions

1. Which of the following is a reason why brands matter to consumers? Select one: a....

1. Which of the following is a reason why brands matter to consumers? Select one: a. means of legally producting unique features b. source of competitive advantage c. source of financial returns d. risk reducer 2. A product so basic that it cannot be physically differentiated in the minds of consumers is a(n): Select one: a. credence product b. commodity c. convenience good d. shopping good 3. A customer who regularly buys Pink from Victoria's Secret is expressing brand: Select...

Question 36 In a corporate structure with shareholders, managers, and a board of directors: Select one:...

Question 36 In a corporate structure with shareholders, managers, and a board of directors: Select one: a. shareholders are agents b. directors are agents c. in principle, the board of directors works on behalf of the shareholders d. managers are principals e. shareholders are generally both principals and agents Question 37 A project costs $525 and has cash flows of $110 for the first three years and $75 in each of the project's last five years. What is the payback...

Which of the following statements is FALSE? Select one: a. It is possible to face with...

Which of the following statements is FALSE? Select one: a. It is possible to face with multiple IRRs. b. The Discounted Payback Method provides a solution for all the shortcomings of the Payback Period Method. c. None of the above d. A NPV will always exist for an investment opportunity. Which of the following is NOT an equity market instrument? Select one: a. Government Bonds b. Common Stocks c. Preferred Stocks d. None Which of the following is NOT an...

Which one of the following statements is NOT true? Select one: A. Venture capitalists often require...

Which one of the following statements is NOT true? Select one: A. Venture capitalists often require an entrepreneur to make a substantial personal investment in the business. B. Venture capitalists do not require an entrepreneur to make a personal investment in the business. C. Venture capitalist's in-depth knowledge of the industry and technology reduces risk. D. The key idea behind staged funding is that each funding stage gives the venture capitalist an opportunity to reassess the management team and the...

Select one answer as the best response and explain your reason for the selection. 1. Generally...

Select one answer as the best response and explain your reason for the selection. 1. Generally speaking technological progress leads to higher output purely because it raises the productivity of capital purely because it raises the steady-state capital stock because it raises both the productivity of capital and the steady state capital stock purely because it increases the capital stock for a given production function purely because it raises the output produced by a given capital stock Explain your answer:...

Employment at will means: Select one: a. workers or managers terminate an employment arrangement any reason,...

Employment at will means: Select one: a. workers or managers terminate an employment arrangement any reason, or no reason b. employers can hire anyone they wish c. workers can take any job they wish d. the government does not interfere in employment contracts The liberty of contract states that: Select one: a. the right to compose a contract is a natural right b. labor unions are not illegal c. laborers and employers can write their own contracts d. laborers and...

One reason that Normal distribution models show up so often is because they have some special...

One reason that Normal distribution models show up so often is because they have some special and useful properties, many of which were covered in class. Here is another: Mathematical Fact: If the variables X and Y are both normally distributed and independent, then new variables X + Y (the sum) and X – Y (the difference) are also normally distributed. * The mean and standard deviation of the sum or difference are calculated using the properties of random variables...

Why do acquisitions, as a foreign market entry mode often fail? Please chose one reason. There...

Why do acquisitions, as a foreign market entry mode often fail? Please chose one reason. There is a clash between the cultures of the acquiring and acquired firm. Acquisitions take a long time to execute compared to greenfield investments. Acquisitions are easily preempted by making greenfield investments. The revenue and profit stream generated by an acquisition are well known in advance. Losses produced by intangible assets outweigh profits from acquired tangible assets. In assessing which foreign markets to enter, companies...

1) One reason why economists often appear to disagree when asked about the impact of some...

1) One reason why economists often appear to disagree when asked about the impact of some macroeconomic policies is that Select one: a. they do not understand the economy very well b. economics is a very difficult science, and so there are many incorrect economic projections being made c. economists rarely disagree; people just think they are disagreeing because they do not understand the language of economics d. economists often appear to be disagreeing when one is talking about long-run...

The total amount of stockholders' equity reported on the balance sheet is often: Select one: a....

The total amount of stockholders' equity reported on the balance sheet is often: Select one: a. not accurate due to too many estimates b. all of the above c. not representative of the value of the company to its stockholders d. too hard for the average investor to locate

Subjects