Companies usually argue that a stock buyback is the best use of capital at a particular time
Question:
Companies usually argue that a stock buyback is the best use of capital at a particular time and that there is no better investment than in the company itself. Do you agree? Why or why not?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 66% (3 reviews)
Companies can and do invest in other assets howeve...View the full answer
Answered By
Munibah Munir
I've done MS specialization in finance’s have command on accounting and financial management. Forecasting and Financial Statement Analysis is basic field of my specialization. On many firms I have done real base projects in financial management field special forecasting. I have served more than 500 Clients for more than 800 business projects, and I have got a very high repute in providing highly professional and quality services.I have capability of performing extra-ordinarily well in limited time and at reasonable fee. My clients are guaranteed full satisfaction and I make things easy for them. I am capable of handling complex issues in the mentioned areas and never let my clients down.
4.60+
467+ Reviews
648+ Question Solved
Related Book For
Contemporary Business
ISBN: 9781119905769
4th Canadian Edition
Authors: Louis E. Boone, David L. Kurtz, Michael H. Khan, Brahm Canzer, Rosalie Harms, Peter Moreira
Question Posted:
Students also viewed these Business questions
-
Planning is one of the most important management functions in any business. A front office managers first step in planning should involve determine the departments goals. Planning also includes...
-
Stock Buybacks Beat Capital Spending for Many Big Companies Finance chiefs at S&P 500 companies spent more on buybacks than on plowing back into their businesses in the first half of the year....
-
List three specific parts of the Case Guide, Objectives and Strategy Section (See below) that you had the most difficulty understanding. Describe your current understanding of these parts. Provide...
-
Continuing the previous problem, assume, as in Problem 11, that the damage amount is normally distributed with mean $3000 and standard deviation $750. Run @RISK with 5000 iterations to simulate the...
-
Determining the Financial Statement Effects of Operating Activities Involving Expenses The following transactions are July 2011 activities of Craigs Bowling, Inc., which operates several bowling...
-
The data obtained in a two-plane balancing procedure are given in the table below. Determine the magnitude and angular position of the balancing masses, assuming that all angles are measured from an...
-
Machinery purchased for $52,000 by Carver Co. in 2008 was originally estimated to have a life of 8 years with a salvage value of $4,000 at the end of that time. Depreciation has been entered for 5...
-
Write the elements d23 and d 42 of matrix D. 60 100 150 120 25 48 60 10 D=100 93 60 80 75 94 140 170 80 80 60 0
-
Wholesteen Dairy, Inc., produces and sells Wholesteen brand condensed milk to grocery retailers. The overall market for condensed milk is fairly flat, and theres sharp competition among dairies for...
-
What are the worlds two largest stock markets?
-
Briefly explain the role of financial institutions in the sale of securities.
-
Identify the order in which the following budgets are prepared. Use the letter to indicate the first budget to be prepared, b for the second, and so on. 1. Production budget 2. Direct labor budget...
-
A(n) ____________ is the line or division between work and life.
-
What is a preferred creditor? What are the principal categories of preferred claims?
-
Take a moment to think about someone whom you view as a bad presenter. What are the qualities of this persons verbal and nonverbal communication while presenting? Does this speaker neglect to...
-
How does a bankrupt become discharged?
-
How do you manage stress and emotions such as anger? What strategies do you have, if any, that work for you?
-
Dan borrowed $1100 today and is to repay the loan in two equal payments, one in four months and one in six months. If interest is 8.5% on the loan, what is the size of the equal payments if a focal...
-
Imagine a sound wave with a frequency of 1.10 kHz propagating with a speed of 330 m/s. Determine the phase difference in radians between any two points on the wave separated by 10.0 cm.
-
The Pet Company must make a choice between two investment alternatives. Alternative 1 will provide returns to the company of $20 000 at the end of three years and $60 000 at the end of six years....
-
The Cap Company has a policy of requiring a rate of return on investments of 16%. Two investment alternatives are available but the company may choose only one. Alternative 1 offers a return of $50...
-
A 40-year old man from Bellville, Ontario, Derek Schwager received a great deal of online reaction after he won the Cash For Life draw and decided to take the $1.5 million lump sum payout rather than...
-
During 2020, The Chen Corporation had the following actual results: Finished Units: Units Completed and Sold Thing One 65,000 Thing Two 40,000 (Assume the sales price per unit was the same as the...
-
Sandpiper Company has 10,000 shares of cumulative preferred 3% stock, $50 par and 50,000 shares of $10 par common stock. The following amounts were distributed as dividends: 20Y1 $22,500 2012 2013...
-
1. Describe how an OM can add value to an organization; do this by sharing an example of a company and some examples of your considerations and suggestions.
Study smarter with the SolutionInn App