Dividend Stock Multiple Choice Questions (MCQ) PDF - 128

MCQ 636: The preferred dividend is $60 and the required rate of return is 20% then the value of preferred stock will be

1. 40
2. 120
3. 12
4. 300

MCQ 637: In the option pricing, an increasing in option price is due to

1. time of expiry increases
2. time of expiry decreases
3. exchange time increases
4. exchange time decreases

MCQ 638: The rate of return (in percentages) consists of

1. capital gain yield interest yield
2. return yield + stable yield
3. return yield + instable yield
4. par value + market value

MCQ 639: The firm's promise to pay and is backed or guaranteed by bank is classified as

1. customer's acceptance
2. banker's acceptance
3. federal acceptance
4. treasury acceptance

MCQ 640: In arbitrage pricing theory, the higher required rate of return is usually paid on the stock

1. higher market risk
2. higher dividend
3. lower dividend
4. lower market risk