All of the following factors may affect dividend policy except:

A. restrictions on dividend policy by bond indenture B. the transfer agent who clears the stock trade

C. stockholders preference D. need for funds

The following would be the result of a company executing a stock split:

A. company raises new money B. discourages stock trading activities C. shareholders wealth increase immediately D. the stock becomes more attractive

Which of the following bonds would pay the most interest?

A. subordinated debenture B. first mortgage C. senior debenture D. second mortgage

Which of the following bonds would pay the least interest?

A. subordinated debenture B. first mortgage C. senior debenture D. second mortgage

Which of the following has first claim on assets in case of bankruptcy?

A. sub-ordinated debenture B. second-mortgage C. senior debenture D. first-mortgage