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    Company Accounting
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    Exam 2: Financing Company Operations
  5. Question
    If a Company Uses Its Surplus Cash Reserves to Buy-Back
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If a Company Uses Its Surplus Cash Reserves to Buy-Back

Question 26

Question 26

True/False

If a company uses its surplus cash reserves to buy-back its own shares, the total equity of the company will increase by the equivalent amount of cash spent.

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