Preferred Stock Is Similar to Common Stock in That

question 20

Multiple Choice

Preferred stock is similar to common stock in that:

• A)it has no fixed maturity date.
• B)the nonpayment of dividends can bring on bankruptcy.
• C)dividends are limited in amount.
• D)all of the above.

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Definitions:

Criterion Contamination

Refers to the situation where performance appraisals include factors irrelevant to the employee's actual job performance.

Criterion Relevance

The degree to which a criterion used in evaluating outcomes or performance accurately reflects the essential aspects of a job or objective.

Criterion Deficiency

The part of the expected job performance that is not measured by the performance evaluation system in place.

Sales Revenue

The income generated from the sale of goods or services before any costs or expenses are deducted.