Question: A company that is cutting its dividend while increasing its share repurchase program by an equivalent dollar amount is sending which signal to investors? a.

A company that is cutting its dividend while increasing its share repurchase program by an equivalent dollar amount is sending which signal to investors?

a. The firm expects to be less profitable in the future.

b. Management considers its shares currently overvalued.

c. Management wants to attract income-oriented investors.

d. None of these answers.

Please explain it.

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