1. The Common stock shareholders are owners of the corporation, and as such have certain rights including:
   1. A fixed price for the stock
   2. A fixed dividend payment
   3. Neither a nor b above
2. Stock is shown on the balance sheet as:
   1. Retained Earnings
   2. Equity
   3. Debt
3. If a company has issued 5,000 shares of stock, 100 shares of stock in that company gives the stockholder:
   1. 2% ownership of the company
   2. 20% ownership of the company
   3. 5% ownership of the company

1. Cash payments regularly made by corporations directly to their stockholders are called:
   1. Earnings
   2. Coupon payments
   3. Dividends

1. A corporation is required to pay a dividend every year to all common stockholders.
   1. True
   2. False
2. The Dividend Yield on a stock is equal to:
   1. Stock Price/Earnings
   2. Stock Price/Dividend
   3. Dividend/Earnings

1. A model for determining the value of a share of stock is:
   1. The Capital Asset Pricing Model
   2. The Dividend Growth Model
   3. The Fisher Effect
2. The value of a non-constant growth stock is equal to:
   1. The present value of the dividends
   2. The present value of the coupon
   3. The present value of the face