Which of the Following Is True About a Growth Stock

question 72

Multiple Choice

Which of the following is true about a growth stock?

• A)It pays a fixed amount of dividends every year.
• B)It has voting rights and generally pays a fixed amount of interest each year until maturity.
• C)It pays large and relatively constant dividends each year.
• D)It pays cumulative dividends at the time of maturity.
• E)It generally pays little or no dividends because the firm retains most of its earnings to fund developmental opportunities.

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Definitions:

Ethyl

A univalent radical, C2H5, derived from ethane and forming many compounds, used in chemical synthesis.

Methyl

A hydrocarbon group, CH3, often acting as a substituent in organic molecules.

Structures Below

Generally refers to a graphical representation of the spatial arrangement of atoms and the bonds between them which appears in the subsequent part of a document or presentation.

Acceptable Name

A common or trivial name for a chemical compound that is widely used and recognized, besides its systematic IUPAC name.