問題一覧
1
A security that can be freely transferred, assigned or delivered to another entity is called:
Negotiable
2
A proven way to reduce non-systematic risk in equity portfolio is to:
Diversify among different stocks
3
Which of the following is inaccurate statement regarding preferred stock?
Bondholders are usually lower in priority than these shareholders with respect to creditor claim.
4
What date occurs one business day after the ex-dividend date?
The record date
5
As a common stockholder, an investor has an opportunity to cast a vote which means they can indicate a preference for:
The people who will sit On The Corporation's board
6
An investor has 100 shares of XYZ stock at $90 per share. After a 3 for 1 split, The investor can expect to own
300 shares at $30 per share
7
Which of the following is an inaccurate statement regarding preferred stock?
Bondholders are usually lower in priority than these shareholders with respect to creditor claims
8
The shares of authorized stock that are sold to the policy are known as
Issued stock
9
Pre-emptive rights are available to current shareholders of company as of means of
Avoiding dilution.
10
In which type of transaction does the confirmation and settlement occur on the trade date?
Cash
11
The par value off prefer stock is important to know as
Dividends are typically paid as a percentage of par value.
12
The possibility always exists that a particular company may not be profitable. This is best characterized as:
Business risk
13
When a company engages in a stock split, the result is
Change in the number of shares outstanding and share price, but no true valuation change to the investor.
14
Dividends are typically paid.
Quarterly
15
Preferred stock has a lower potential for appreciation and capital gains than common stock issued by the same company because
Prefered stock pay a fixed dividend.
16
ABC corporation is planning to do $50,000,000 debenture Offering in the next few months and hopes to make the offering as attractive as possible to investors. To achieve this goal, ABC corporation would most likely
Include a detachable warrant as a sweetheart with the bond offerings
17
An investor buys equity securities that convey the right to purchase shares of a company's common stock at a fixed price. These securities are called:
Warrants
18
What usually happens to the price of a stock at the opening of trading on the ex-dividend date?
The price declines by the amount of the dividend
19
The stock of an issuer that reinvests most of its earnings back into the business is most likely classified as an:
Growth stock
20
What must be done with open limit orders at theclose of business on the day before the ex-date of a reverse stock split?
They must be cancelled
21
Nigel Bones stock certificates that he inherited from his grandfather. How can he continue to hold the stock without having responsibility for lost or damaged certificates?
Endorse the Certificates to a brokerage firm
22
An effective technique for losing the systematic risk of an equity portfolio is to:
Protect the portfolio by using hedging strategies
23
The shares of authorized stock that are sold to the public are known as:
Issued stock
24
Brunswick issues a Series A $2.40 cumulative convertible preferred voting stock. This stock: (1)- Is convertible into common stock (2)- Pays dividends in arrears (3)- Receives excess dividends on a pro rata basis with common stock
(1) and (2) Only
25
Systematic risk can often be attributed to all of the following factors except
Changes in corporate management
26
Which of the following best characterizes a defensive stock?
It will be largely unaffected by changes in economic activity.
27
ABC corporation will elect 2 members of the board of director at its annual meeting. A shareholder that owns 200 shares of stock may: (1)- Vote 200 shares of stock for each director under statutory voting (2)- Vote100 shares of stock for each director under statutory voting (3)- Split a total of 200 for any way between the two directors under cumulative voting (4)- Split a total of 400 for any way, between the two directors under cumulative voting
(1) and (4)
28
The process of shareholders assigning voting rights to a third party is
Voting by proxy