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Which of the following statements about equity financing is most correct?

A poison pill is a provision in the corporate charter that allows removal of current management.

A proxy is the statement that accompanies a dividend payment.

A proxy fight occurs when an outside group solicits shareholder proxies in an attempt to gain control of the business.

A spin-off occurs when the CEO of one company is hired by a competing company.

In a dividend reinvestment plan (DRIP), a corporation withholds dividends paid to senior managers.

Financial Management, Finance

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