A Company Issued 7% Preferred Stock with a $100 Par

question 148

Multiple Choice

A company issued 7% preferred stock with a $100 par value.This means that:

• A)Preferred shareholders have a guaranteed dividend.
• B)The amount of the potential dividend is $7 per year per preferred share.
• C)Preferred shareholders are entitled to 7% of the annual income.
• D)The market price per share will approximate $100 per share.
• E)Only 7% of the total contributed capital can be preferred stock.

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Definitions:

Conscientiousness

A personality trait characterized by thoroughness, carefulness, and the desire to do things well.

Neuroticism

A personality trait characterized by emotional instability, anxiety, moodiness, irritability, and sadness.

Ryff Well-Being Inventory

A psychological assessment tool developed by Carol Ryff that measures six components of well-being: autonomy, environmental mastery, personal growth, positive relations with others, purpose in life, and self-acceptance.

Six Dimensions

often refers to models of human well-being that include dimensions such as physical, psychological, spiritual, social, economic, and environmental aspects.