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9) Par value of a stock refers to the: A) Dividend value of the stock. B) Issue price of the stock. C) Value assigned per

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9) Par value of a stock refers to the: A) Dividend value of the stock. B) Issue price of the stock. C) Value assigned per share by the corporate charter. D) Maximum selling price of the stock. E) Market value of the stock on the date of the financial statements. 10) When a corporation has only one class of stock, the stock is called: A) Par value stock. B) Preferred stock. C) Stated value stock. D) No-par value stock. E) Common stock. 11) A class of stock that can usually be issued at any price without creating a minimum legal capital deficiency is called: A) Convertible stock. B) No-par stock. C) Noncumulative stock. D) Discounted stock. E) Callable stock 12) A company had a beginning balance in retained earnings of $400,000. It had net income of $50,000 and paid out cash dividends of $55,000 in the current period. The ending balance in retained earnings equals: A) $505,000. B) $405,000. C) $455,000. D) $350,000. E) $395,000. 13) A company had a beginning balance in retained earnings of $43,400. It had net income of $6400 and paid out cash dividends of $5725 in the current period. The ending balance in retained earnings equals: A) $5725. B) $12,125. C) $55,525. D) $42,725. E) $44,075. 14) Mayan Company had net income of $33,580. The weighted average common shares outstanding were 9200. The company has no preferred stock. There were no other stock transactions. The company's earnings per share is: A) $5.36. B) $6.72. C) $8.00. D) $3.65. E) $2.51. 15) A company has net income of 5860,000; its weighted average common shares outstanding are 172,000. Its dividend per share is $1.35, its market price per share is $106, and its book value per share is $103.00. Its price-earnings ratio equals: A) 1.65. B) 3.00. C) 20.60. D) 4.35. E) 21.20

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