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Question
Stock repurchases might be undertaken when
a. the firm has excess cash but no "good" investment opportunities
b. the price of the firm's stock is undervalued
c. the firm wants to increase the proportion of its assets that are financed with debt
d. management wants to gain more ownership control of the firm-by repurchasing the stock of other investors
e. All of the above are reasons stock repurchases might be undertaken
Answer
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