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NEW QUESTION: 1
Which of the following actions will enable a company to raise additional equity capital (that is, which of the following will raise the total book value of equity)?
A. The establishment of an open-market purchase dividend reinvestment plan.
B. A stock repurchase.
C. A stock split.
D. All of these answers are correct.
E. The establishment of a new-stock dividend reinvestment plan.
The new stock type of dividend reinvestment plan invests the dividends in newly issued stock, hence these plans raise new capital for the firm.
NEW QUESTION: 2