Question
A company issues 100,000 shares of preferred stock for $40 a share. The stock has fixed annual dividend rate of 5% and a par value
A company issues 100,000 shares of preferred stock for $40 a share. The stock has fixed annual dividend rate of 5% and a par value of $3 per share. Preferred stockholders can anticipate receiving a dividend of:
| A.) | $5,000 each year. |
| B.) | $15,000 each year. |
| C.) | 5% of net income each year. |
| D.) | $3 per share. |
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The Board Of Directors And Audit Committee Guide To Fiduciary Responsibilities Ten Critical Steps To Protecting Yourself And Your Organization
Authors: Sheila Moran CPA CFE, Ronald Kral CPA CMA
1st Edition
0814431666, 978-0814431665
