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D Question 6 1 pts Common Stock dividends are determined by the par value of the stock and the contractual dividend rate. True False Question

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D Question 6 1 pts Common Stock dividends are determined by the par value of the stock and the contractual dividend rate. True False Question 7 1 pts Common stock ownership typically carries with it the right to vote on important matters of corporate policy, while preferred stock ownership does not True False Question 8 1 pts Which of the following is false? All else equal, higher dividends will lead to higher stock values. All else equal, higher growth rates in earnings and dividends will lead to higher stock values All else equal, higher required rates of retum will lead to higher stock values, None of the other answers is false. Question 9 1 pts For any given form that has both preferred stock and common stock, the common stock will always be safer than the preferred stock since it has much higher potential returns. True False Question 10 1 pts One reason forms like to borrow money (even though borrowing adds risk to the form is that the interest on borrowed money is fully tax deductible while dividend payments to equity investors are not fully deductible True

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