
Q2 M4 BASIC CONCEPTS OF STOCKS AND BONDS
Quiz by Carol Cargullo-Zamora
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The distribution of a company’s profits to its shareholders.
A person who owns shares of stocks in a corporation.
It is a class of corporate stock in which the investor has preferential rights over the common shareholders to dividends and a company’s assets.
It is a class of corporate in which the investor has voting rights and shares directly in the success or failure of the business.
An arbitrary monetary figure specified in the corporate charter for each share of stock and printed on each stock certificate.Â
This is a type of preferred stock that receives a dividend each year.
It is the amount of dividends that accumulate and are owned to cumulative preferred shareholders before for past years in which no dividends are paid.
The board of directors of SSS Inc., have declared a dividend of ₱18,000,000.00. The company has 40,000 shares preferred stock that pay ₱60.00 per share and 80,000shares of common stock. Calculate the amount of dividends due the preferred shareholders.
The board of directors of SSS Inc., have declared a dividend of ₱18,000,000.00. The company has 40,000 shares preferred stock that pay ₱60.00 per share and 80,000 shares of common stock. Calculate the amount of the dividend per share of common stock.
(e.g. answer: The dividend per share of common stock is P__________)
What is the current yield of a bond whose face value is ₱14,500.00 and pays a yearly interest of 12% if purchased at face value at ₱13,920.00?