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As Compared to a Cash Dividend,a Share Repurchase Will Do

Question 41

Multiple Choice

As compared to a cash dividend,a share repurchase will do which of the following?


A) Increase both earnings per share and the PE ratio
B) Increase the earnings per share but not affect the PE ratio
C) Increase the earnings per share and decrease the PE ratio
D) Not affect either the earnings per share nor the PE ratio
E) Not affect the earnings per share but will decrease the PE ratio

Correct Answer:

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