A corporation has an issue of preferred stock outstanding. The stock pays an annual dividend of $2.25 and is priced at $38 per share. What is the cost of preferred stock in the companys capital struct
A. 2.25%.
B. 16.89%.
C. 5.92%.
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A bond is selling at a premium relative to its par value. Which of the following relationships holds?
A. Yieldtomaturity>couponrate>currentyield.
B. Currentyield>yieldtomaturity>couponyield.
Couponrate>currentyield>yieldtomaturity.
The six-month Treasury bill has a yield to maturity of 5 percent. The one-year Treasury bill with zero coupon, has a yield to maturity of 6 percent, if a Treasury note with a maturity of 1.5 years and
A. 7.00%.
B. 7.50%.
C. 8.00%.
An investment fund owns 9 percent of the outstanding voting shares of a public company. There are several larger voting blocks of shares such that the investment fund is not assured of being able to e
A. Proxy
B. Confidential
Cumulative
According to U.S. GAAP and IFRS, respectively, is a company required to classify interest paid as cash flow from operating activities in the cash flow statement?
A. S.GAAP IFRS
B. No No
C. No Yes
D. Yes No