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Which of the following is not a reason for a corporation to purchase treasury stock? Select one: Oa. To have additional shares available for
Which of the following is not a reason for a corporation to purchase treasury stock? Select one: Oa. To have additional shares available for use in acquiring other companies O b. To reduce the number of shares outstanding and increase earnings per share O c. To signal to the market that management believes the stock is overpriced O d. To reissue the shares to officers under compensation plans Which ratio measures the percentage of earnings distributed in the form of cash dividends to common stockholders? Select one: Oa. Return on common stockholders's equity ratio O b. Return on total assets ratio O c. Payout ratio O d. Earnings ratio Which of the following is not a characteristic of a corporation? Select one: Oa. Separate legal existence O b. Liability of stockholders is limited to their investment in the corporation c. Transfer of ownership rights among stockholders has no effect on the operating activities d. Creditors of the corporation have a legal claim on personal assets of the stockholders
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