A reason why a company might wish to buy back its own shares is:
A) to decrease its debt to equity ratio
B) to protect its creditors
C) to use funds to benefit shareholders where there are insufficient profitable investment opportunities
D) all of the above

Question

Quizplus · Accepted Answer

A company might buy back its own shares to return excess cash to shareholders when there are not enough profitable investment opportunities available.

A Reason Why a Company Might Wish to Buy Back