Factors Affecting the Market Price of Stocks

question 39

Essay

Factors affecting the market price of stocks
(a)Murdock Corporation has outstanding several different stock issues.For each of the types of stock listed below,briefly describe a situation or circumstance that would cause the market price of that type of stock to increase.
Preferred stock
Common stock
Convertible preferred stock
(b)How would the increase in market value of any of Murdock's stock be reflected in Murdock's financial statements?

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Definitions:

AASB 8 Operating Segments

A standard that requires an entity to disclose information about its operating segments, products and services, the geographical areas in which it operates, and its major customers.

Internal Management

Refers to the process and activities undertaken by a company's management team to operationalize business strategies and manage daily operations effectively.