Which of the Following Statements About the New York Stock

question 94

Multiple Choice

Which of the following statements about the New York Stock Exchange (NYSE) and the American Stock Exchange (AMEX) is true?

• A)Companies listed on the NYSE cannot be listed on the AMEX at the same time.
• B)Most firms traded on the NYSE are smaller than those traded on the AMEX.
• C)The AMEX rules are stricter than those of the NYSE.
• D)Firms cannot move from one exchange to the other.
• E)All AMEX and NYSE transactions occur on the NYSE trading floor.

---

Definitions:

Stockholders' Equity

The residual interest in the assets of a corporation that remains after deducting liabilities, representing the ownership interest of shareholders.

Preferred Stock

A class of ownership in a corporation that has a higher claim on assets and earnings than common stock, often with dividend payment preferences.

Par Value

The stated face value of a bond or the nominal value of a stock, unrelated to its market price.

Paid-in Capital

The sum of funds a business has obtained from its stockholders by selling them stock shares.