Which of the following statements related to preferred stock are correct? I. Preferred stock pays a constant dividend. II. Preferred stock is generally the cheapest source of capital for a firm. III. A decrease in the market value of preferred stock will increase a firm's weighted average cost of capital. IV. An increase in the rating of a preferred stock will increase the cost of preferred.
A: II and III only
B: I and IV only
C: I and III only
D: II and IV only
E: I, III, and IV only
A: II and III only
B: I and IV only
C: I and III only
D: II and IV only
E: I, III, and IV only
举一反三
- The<br/>cost of buying and selling a stock include _________. I. broker's commissions II. dealer's bid-asked spread III. price concessions investors may be forced to make A: I and II only B: II and III only C: I and III only D: I,<br/>II and III
- Factory overhead can be absorbed by which of the following methods? (i) Machine hours (ii) direct labor hours (iii) unit quantity (ii) (iv) as a percentage of direct labor cost A: (i) ,(ii) ,(iii), (iv) B: Only (i) & (ii) C: Only (ii) & (iii) D: only (i) ,(ii) & (iii)
- Which of the following items must be separately disclosed in the statement of cash flows? I. Interest paidII. Dividends paidIII. Interest receivedIV. Dividends received V.Auditor’s remuneration paid A: II, III and IV only B: I, II and V only C: II, III, IV and V only D: I, II, III and IV only
- Which of the following statements is most accurate regarding a firm’s cost of preferred shares A firm’s cost of preferred stock is:（） A: the market price of the preferred shares as a percentage of its issuance price. B: the dividend yield on the firm’s newly-issued preferred stock. C: approximately equal to the market price of the firm’s debt as a percentage of the market price of its common shares.
- Which of the following items is/are entered in the cash book? A: i) only B: ii) and iii) C: iii) and iv) D: i) and iv)