Another to method to repurchase shares is the ________, in which the firm lists different prices at which it is prepared to buy shares, and shareholders in turn indicate how many shares they are willing to sell at each price.
A)open market repurchase
B)selective buyback
C)equal access buyback
D)Dutch auction

Question

Quizplus · Accepted Answer

The method described in the question is that of a Dutch auction, where the company specifies various prices at which it is willing to buy back shares and shareholders indicate how many shares they are willing to sell at each price. This allows the company to determine the lowest price at which it can repurchase the desired number of shares. A selective buyback involves the company purchasing shares from specific shareholders, and an equal access buyback allows all shareholders to participate in the buyback on an equal basis. An open market repurchase involves the company buying back shares on the open market. The question specifically mentions the method of listing different prices for share repurchase, which is unique to the Dutch auction method.

Another to Method to Repurchase Shares Is the ________, in Which