Which of the following is not an advantage of a preferred stock from the point of view of the company issuing the preferred stock? A. The dividends are not mandatory B. The dividends are not taxable C. Ownership rights are not parted when preferred stock is issued D. Non payment of dividends will not result in bankruptcy filing and protection

The par value of the bond is also A. is zero for a zero coupon bond B. the principal paid at the time of maturity C. is calculated as coupon rate * 1000 D. the price of the bond

A stock pays a constant dividend of $2. The required rate of return on an investment in equity is 7%. As a rational investor and using the concepts of MOS3310, should you purchase the stock if it was trading at $35? A. Yes B. No C. Insufficient information to calculate and answer the question D. Both B and C

The tendency of two variables to move together is called A. covariance B. standard deviation C. correlation D. coefficient of variation