31.) ABC Inc. repurchased 30 percent of its outstanding common stock from the open (secondary) market. What are the results from this activity?

a. A decrease in total assets.

b. A decline in earnings per share.

c. An increase in cash.

d. The number of stockholders would remain the same as a result of the preemptive right.

32.) Pizza Inc. had earnings of $1.00, $1.25, and $4.00 per share and a dividend policy that resulted in annual dividends per share of $0.40, $0.50, and $1.60 for the past three years. The company anticipates maintaining the same dividend policy this year and also anticipates an increase in earnings to $6.00 per share this year. What dividend do you expect Pizza Inc. to pay in the next year?

a. $2.40.

b. $3.20.

c. $3.80.

d. $4.80.