A share repurchase is said to be equivalent to the payment of a cash dividend because each strategy:
A)causes share price to decline.
B)causes share price to increase.
C)creates the same tax liability for the investor.
D)leaves the firm with the same amount of assets.

Question

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The Answer of A share repurchase is said to be equivalent to the payment of a cash dividend because each strategy:
A)causes share price to decline.
B)causes share price to increase.
C)creates the same tax liability for the investor.
D)leaves the firm with the same amount of assets.

A Share Repurchase Is Said to Be Equivalent to the Payment