I Prefer 6 Apples and 1 Orange to 5 Apples

question 16

Multiple Choice

I prefer 6 apples and 1 orange to 5 apples and 2 oranges.My preferences

• A)are transitive.
• B)are complete.
• C)are convex.
• D)obey the Law of Demand.
• E)None of the above.

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Definitions:

Preferred Stock

Preferred stock is a class of ownership in a corporation that has a higher claim on its assets and earnings than common stock. Preferred shareholders typically receive dividends before common shareholders.

Cumulative Dividends

Dividends that are owed and accumulate if not paid in a given period, typically associated with preferred shares.

Common Stock

A type of security that represents ownership in a corporation, with holders having a claim on the company's assets and earnings.

Preemptive Right

The right of existing shareholders to purchase additional shares before the company offers them to the public, maintaining their proportional ownership.