If you were a treasurer for a Fortune 1,000 corporation who has responsibility for investing excess
cash balances, which of the following alternatives would you be least likely to select?
A) U.S. Treasury bills B) bankers' acceptances
C) commercial paper D) common stock
Question 2
All of the following are rationales given for a stock dividend or split EXCEPT
A) there is positive informational content associated with the announcement.
B) conservation of corporate cash.
C) the price will not fall proportionately to the share increase.
D) an optimum price range does not exist.
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