Label as the Better Choice on Utilitarian Calculations , a or B

question 16

Multiple Choice

Label as the better choice on utilitarian calculations , A or B, using a scale of -10 (very painful) to +10 (very pleasurable) for degrees of pleasure or happiness.

• A) makes 5 people happy and no one unhappy,
• B) makes 9 people happy and me unhappy.

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Definitions:

Guaranteed Dividends

Dividends that are promised by a corporation to preferred shareholders, payable before any dividends are given to common shareholders.

Par Value

The nominal or face value assigned to a share of stock or a bond, used in legal documents and usually unrelated to market value.

Corporate Charter

A corporate charter is a legal document that establishes a corporation, setting forth its structure, powers, and objectives as granted by the state.

Issue Price

The price at which new shares, bonds, or other securities are offered to the public or the holders.