How does Jensen's free cash flow hypothesis relate to a firm's dividend policy?
a. Dividends discipline management by forcing free cash flow to be disgorged to shareholders, thus mitigating management's tendency to engage in empire building.
b. Dividends act as a signal of firm value.
c. Dividends solve the principal-agent problem between shareholders and creditors.
d. Dividends solve the underinvestment problem.
A
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Which of the following is the final step of the marketing research process?
A) developing the research plan B) implementing the research plan C) interpreting and reporting the findings D) selecting a research agency E) defining the research objectives
Which of the following is not a required disclosure in an interim financial report?
A. Net income. B. Significant changes in estimates or provisions for income taxes. C. Earnings per share. D. Gross profit. E. Disposal of a component, net of income taxes.
Mix n' Match Clothing Corporation gives notice to Neely that Mix n' Match is terminating their franchise arrangement. Winding up the business requires
a. a new franchise agreement. b. nothing more than closing immediately. c. Neely's death, disability, or insolvency. d. the return of Mix n' Match's property.
Under the RUPA, a partner's dissociation:
A) terminates the partner's right to participate in the management and conduct of the partnership business. B) eliminates that partner's right to participate in winding up the partnership. C) does not terminate the duty not to compete with the partnership until the process of winding up the partnership has been completed. D) terminates that partner's duty to account to the firm for any fees received on behalf of the partnership.