Question

Choose the appropriate letter to match the term and the definition. Not all definitions will be used.

Term:

1. _____ Treasury Stock

2. _____ Cash Dividend

3. _____ IPO

4. _____ Preferred Stock

5. _____ Outstanding Shares

6. _____ EPS

7. _____ Stock Dividend

8. _____ Residual Claim

9. _____ ROE

Definition:

A. When a company first starts selling stock to the public.

B. The additional shares of stock a company can issue beyond what are already issued.

C. Earnings per share that reflects treasury and preferred stock.

D. This payment raises stockholders' equity.

E. (Net income less preferred dividends) divided by average stockholders' equity.

F. The shares of stock held by stockholders.

G. Stock shares that pay a fixed dividend rate but have no voting rights.

H. (Net income less preferred dividends) divided by the average number of outstanding common shares.

I. Stock that allows owners to be listed among creditors.

J. This dividend does not reduce stockholders' equity.

K. The shares of stock held by the issuing company.

L. Stockholders' entitlement to remaining assets after creditors are repaid.

M. This payment decreases stockholders' equity.

Answer

This answer is hidden. It contains 27 characters.