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Which of the Following Can Be Reasons for a Company

Question 46

Multiple Choice

Which of the following can be reasons for a company to declare a share dividend (bonus issue) ?
I. To reduce the market price of their shares.
II. To capitalise the retained earnings of the company.
III. To conserve cash.
IV. To increase the number of shareholders.


A) I and II only.
B) I, II, III and IV.
C) I, III and IV only.
D) I, II, and III only.

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