Related Questions

You are considering investing in a firm and wish to place a value on the common stock. The dividend on the firm's stock has not changed in the last five years. In absence of any information suggesting future changes in the dividend rate, the most appropriate stock valuation model be the -----model.
A zero growth
B constant growth
C non-constant groth
D growing perpetuity
A company declares a 40% stock dividend when there are 4.0 million common shares outstanding with a Tk.1 per value. Their current market price is Tk. 20 per share. Which of the following will be the effect of the stock dividend ?
A Retained earnings will decrease by Tk. 1.6 million and contributed capital will increase by Tk 1.6 million.
B Contributed capital will decrease by Tk 1.6 million and retained earnings will increased by Tk. 1.6 million
C Retained earnings will decrease by Tk. 32 million and contributed capital will increase by Tk. 32 million
D Contributed capital will decrease by Tk. 32 million and retained earnings will increase by Tk. 32 million
The preferred stock of Jay's Comics currently sells for Tk. 23.25 per share. The annual dividend of Tk. 1.50 is fixed. Assuming a constant dividend forever,what is the rate of return on this stock ?
A 3.49 percent
B 6.45 percent
C 8.06 percent
D 8.50 percent
Find the amount of dividend per share received annually by a stock holder for the following : Par value = TK. 10, Dividend rate= 4%,
A TK. 0.5
B TK. 0.40
C None of these
Stock dividend is distributed among :
A preference shareholders
B debenture holders
C common shareholders
D directors
Karnaphuli Company paid out Tk. 2.30 in dividends per share during 2010. The market price of the stock on December 31,2010 was Tk. 21.00 per share. There were 15,000 shares of stock outstanding for the entire year. The dividend yield as of December 31, 2010 was :
A 16.43%
B 10.95%
C 9.13%
D 913.04%
Type of preferred stock whose dividend payments are never paid to stock holders and are not considered in in arrears is classified as
A non-participating preferred stock
B participating preferred stock
C non-cumulative preferred stock
D cumulative preferred stock
A group of 20 friends formed and investment club, with each member contributing an equal amount to the general fund. The club then invested the entire fund, which amounted to t taka, in stock X. The value of the stock subsequently increased 40 percent, at that point the stock was sold and the proceeds divided evenly among the members. In terms of t, how much money did each member of the club receive from the sale?
A 800t
B t2
C 7t5
D 7t100
What is the minimum number of apples that must be added to the existing stock of 264 apples so that the total stock can be equally distributed among 6, 7 or 8 persons ?
A 70
B 72
C 66
D 74
What is the minimum nuber of flowers that must be added to an existing stock of 966 flowers so that the total stock can be equally distributed among 6, 7, 8 or 9 persons?
A 36
B 42
C 56
D 72

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