Issuing stock to pay for capital equipment when a company’s stock price is relatively low ______ than when its price is relatively high and will ______ the ownership interest of existing stockholders.
a. is less desirable; concentrate
b. is more profitable; enhance
c. requires issuing more shares; dilute
d. raises less funds; not affect
c. requires issuing more shares; dilute
You might also like to view...
Producing leather creates external costs in the form of water pollution. The figure above illustrates the market for leather. In the absence of any government regulation, how many tons of leather will be produced?
A) 0 tons B) 200 tons C) 300 tons D) more than 300 tons E) None of the above answers is correct.
In autarky, when a community maximizes its standard of living, its production point is
A) below the production possibility frontier. B) on the production possibility frontier. C) above the production possibility frontier. D) Can't tell without more information.
An inferior good or service is any good or service for which an increase in income causes a decrease in demand
a. True b. False Indicate whether the statement is true or false
The motivation for an individual citizen to spend the necessary time and effort to resist an interest group is minimal, even if she had a guarantee that this resistance would be effective
a. True b. False Indicate whether the statement is true or false