KLO, Inc. has three separate divisions. All three divisions produce sufficient cash flow to fund their own operations. Management was just approached and asked if they would be receptive to selling
Division three. Management accepted the offer and now wants to distribute some of the excess
Funds from that sale to the shareholders. Management is most likely to:
A) Declare a liquidating dividend.
B) Declare a special dividend.
C) Increase the regular dividend.
D) Declare a stock dividend.
E) Do a stock split.
Correct Answer:
Verified
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