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Refer to Figure 5.1 for the following questions.
Figure 5.1
-Refer to Figure 5.1. An increase in the supply of loanable funds could result in which of the following combinations of the real interest rate and quantity of loanable funds at a new equilibrium?
Par Value
A nominal value assigned to shares of stock by the issuing company, which is the minimum price at which shares can be issued, often used for legal capital purposes.
Annual Dividend
The total dividend payment a company distributes to its shareholders in a fiscal year.
Cumulative Preferred Stock
Preferred stock where dividends accumulate if not paid in a given year and must be paid out before dividends can be distributed to common stockholders.
Par Value
The nominal or face value of a bond, share of stock, or coupon as stated by the issuer.
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