8.

Which of the following statements is true about preferred stock of a large, publicly owned corporation

. Single choice.

a Stockholders have voting rights in the election of the board of directors

b After issuance, the market value of the stock is unrelated to its par value

c No Preference over common stock as to assets in event of the liquidation of the company

d Share conversion privilege

9.

The common stock of ABC Corporation was trading at $50 per share on October 15, 2018. A year later, on October 15, 2019, it was trading at $80 per share. On this date, ABC's board of directors decided to split the company's common stock.

If the company decides on a 2-for-1 split, at what price would you expect the stock to trade immediately after the split goes into effect?

. Single choice.

a $ 25

b $50

c $80

d $40