Question

A company may repurchase their own shares for the following reasons except:

a) the company has issued all its authorized shares and needs the repurchased shares for distributions to employees under stock purchase plans
b) the purchase may help support the share's current market price by decreasing the supply of shares available to the public
c) management wants to avoid a takeover by an outside party
d) the company needs more financing

Answer 1

A company may repurchase their own shares for various reasons, except for needing more financing.

Step-by-step explanation:

A company may repurchase their own shares for various reasons, but the exception to that is d) the company needs more financing.

Repurchasing shares may help support the share's current market price by decreasing the supply of shares available to the public, and it may also allow management to avoid a takeover by an outside party. Additionally, repurchased shares can be used for distributions to employees under stock purchase plans. However, repurchasing shares does not provide the company with more financing.