Why would a corporation purchase its own stock?

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1119404

2026-08-04 03:05

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To keep from being taken over by another corporation or even an individual, If you own 51% of the stock for A company, you in essence OWN IT>


its true that a corporation would buy its own stocks which referred as " Treasury stocks" for not being taken by others ... but also this acquisition decreases its total asset and total equity. besides we shouldn't forget that its a contra stockholder equity account.

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