If the Preference Shares Are Redeemable on a Predetermined Date,the

question 22

Multiple Choice

If the preference shares are redeemable on a predetermined date,the calculation of the cost of preference shares is the same as the calculation of the:

• A)effective interest rate on debt.
• B)marginal interest rate on debt.
• C)average interest rate on debt.
• D)cost of short-term debt.

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Definitions:

Interactional Fairness

The perceived fairness of the interpersonal treatment people receive when organizational procedures are implemented.

Distributive Fairness

Distributive fairness, also known as distributive justice, is the perceived fairness of the outcomes received, including the distribution of rewards or resources among members of a group or organization.

Shocks

Unexpected or sudden events that disrupt the current state of affairs, often leading to significant changes.

Turnover

The rate at which employees leave a workforce and are replaced by new employees, which can impact an organization's performance and continuity.