Question
When the dividend rate on preferred stock is less than the rate of return earned on a corporations assets, it is called: A. Financial leverage.
When the dividend rate on preferred stock is less than the rate of return earned on a corporations assets, it is called:
A. Financial leverage.
B. Discount on stock.
C. Premium on stock.
D. Preemptive right.
E. Capital gain.
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Accounting An Introduction
Authors: Eddie McLaney, Dr Peter Atrill, Eddie J. Mclan
5th Edition
0273733206, 978-0273733201
