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Which of the Following Statements Is Most Correct

Question 31

Multiple Choice

Which of the following statements is most correct?


A) An open-market dividend reinvestment plan is likely to be attractive to companies that are looking to issue additional shares of common stock.
B) Stock repurchases have the effect of reducing financial leverage.
C) If a company does a 2-for-1 stock split, its stock price will roughly double.
D) All of the answers above are correct.
E) None of the answers above is correct.

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