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Question 11. 11. (TCO 5) Bill Affleck is interested in buying preferred
stock, but to be protected if the company needs to omit a dividend
payment. He wants any unpaid dividends to accumulate and be paid
before any common stock dividends are paid. Which one of these
features of preferred stock is Bill seeking?
Convertible
Callable
Cumulative
Credible
None of the above
Question 12. 12. (TCO 5) A very safe investment that generally attracts
conservative investors is called a(n) _____ stock.
penny
cyclical
growth
small cap
blue chip
Question 13. 13. (TCO 5) All of the statements below are false except
corporations are required by law to report all activities to their
stockholders each month.
stockholders may vote only by proxy.