公司理财(英文版)题库6

CHAPTER6StockValuationI.DEFINITIONSGROWINGPERPETUITYa1.Anassetcharacterizedbycashflowsthatincreaseataconstantrateforeveriscalleda:a.growingperpetuity.b.growingannuity.c.commonannuity.d.perpetuitydue.e.preferredstock.Difficultylevel:EasyDIVIDENDGROWTHMODELb2.Thestockvaluationmodelthatdeterminesthecurrentstockpricebydividingthenextannualdividendamountbytheexcessofthediscountratelessthedividendgrowthrateiscalledthe_____model.a.zerogrowthb.dividendgrowthc.capitalpricingd.earningscapitalizatione.discounteddividendDifficultylevel:EasyDIVIDENDYIELDc3.Nextyear’sannualdividenddividedbythecurrentstockpriceiscalledthe:a.yieldtomaturity.b.totalyield.c.dividendyield.d.capitalgainsyield.e.earningsyield.Difficultylevel:EasyCAPITALGAINSYIELDd4.Therateatwhichastock’spriceisexpectedtoappreciate(ordepreciate)iscalledthe_____yield.a.currentb.totalc.dividendd.capitalgainse.earningsDifficultylevel:EasyPREFERREDSTOCKd5.Aformofequitywhichreceivespreferentialtreatmentinthepaymentofdividendsiscalled_____stock.a.dualclassb.cumulativec.deferredd.preferrede.commonDifficultylevel:EasyPREFERREDSTOCKe6.A_____isaformofequitysecuritythathasastatedliquidatingvalue.a.bondb.debenturec.proxyd.commonstocke.preferredstockDifficultylevel:MediumCOMMONSTOCKe7.Aformofequitywhichreceivesnopreferentialtreatmentineitherthepaymentofdividendsorinbankruptcydistributionsiscalled_____stock.a.dualclassb.cumulativec.deferredd.preferrede.commonDifficultylevel:EasyCUMULATIVEVOTINGb8.Thevotingprocedurewherebyshareholdersmaycastalloftheirvotesforonememberoftheboardiscalled_____voting.a.democraticb.cumulativec.straightd.deferrede.proxyDifficultylevel:EasySTRAIGHTVOTINGc9.Thevotingprocedurewhereyoumustown50%plusoneoftheoutstandingsharesofstocktoguaranteethatyouwillwinaseatontheboardofdirectorsiscalled_____voting.a.democraticb.cumulativec.straightd.deferrede.proxyDifficultylevel:EasyPROXYVOTINGe10.Thevotingprocedurewhereashareholdergrantsauthoritytoanotherindividualtovotehis/hersharesiscalled_____voting.a.democraticb.cumulativec.straightd.deferrede.proxyDifficultylevel:EasyPREEMPTIVERIGHTSb11.Preemptiverightsrefertotherightofshareholdersto:a.shareproportionatelyindividendspaid.b.shareproportionatelyinanynewstockissuessold.c.shareproportionatelyinliquidatedassets.d.voteatannualshareholdermeetings.e.overridethevotesofothershareholders.Difficultylevel:MediumDIVIDENDSc12.Paymentsmadebyacorporationtoitsshareholders,intheformofeithercash,stockorpaymentsinkind,arecalled:a.retainedearnings.b.netincome.c.dividends.d.redistributions.e.infusedequity.Difficultylevel:EasyPRIMARYMARKETe13.Themarketinwhichnewsecuritiesareoriginallysoldtoinvestorsiscalledthe_____market.a.dealerb.auctionc.over-the-counterd.secondarye.primaryDifficultylevel:EasySECONDARYMARKETd14.Themarketinwhichpreviouslyissuedsecuritiesaretradedamonginvestorsiscalledthe_____market.a.dealerb.auctionc.over-the-counterd.secondarye.primaryDifficultylevel:EasyDEALERe15.Anagentwhobuysandsellssecuritiesfrominventoryiscalleda:a.broker.b.trader.c.capitalist.d.principal.e.dealer.Difficultylevel:EasyBROKERa16.Anagentwhoarrangessecuritytransactionsamonginvestorsiscalleda:a.broker.b.trader.c.capitalist.d.principal.e.dealer.Difficultylevel:EasyNYSEMEMBERb17.TheownerofaseatontheNewYorkStockExchangeiscalleda(n)_____oftheexchange.a.friendb.memberc.agentd.trusteee.dealerDifficultylevel:EasySPECIALISTc18.AmemberoftheNewYorkStockExchangeactingasadealerinoneormoresecuritiesontheexchangeflooriscalleda:a.floortrader.b.floorpost.c.specialist.d.floorbroker.e.commissionbroker.Difficultylevel:EasyFLOORBROKERd19.AmemberoftheNewYorkStockExchangewhoexecutesordersforcommissionbrokersonafeebasisisa:a.floortrader.b.dealer.c.specialist.d.floorbroker.e.flooragent.Difficultylevel:EasyCOMMISSIONBROKERe20.AmemberoftheNewYorkStockExchangewhoexecutesbuyandsellordersfromcustomersoncetransmittedtotheexchangeflooriscalleda:a.floortrader.b.dealer.c.specialist.d.floorbroker.e.commissionbroker.Difficultylevel:EasyFLOORTRADERa21.AmemberoftheNewYorkStockExchangewhotradesforhisorherownaccount,tryingtoanticipatetemporarypricefluctuations,iscalleda(n):a.floortrader.b.exchangecustomer.c.specialist.d.floorbroker.e.commissionbroker.Difficultylevel:EasySUPERDOTSYSTEMb22.TheelectronicsystemusedbytheNewYorkStockExchangewhichenablesorderstobetransmitteddirectlytoaspecialistiscalledthe______system..a.NASDAQb.SuperDOTc.Instinetd.Internete.brokerage.Difficultylevel:EasyORDERFLOWc23.The________hasamultiplemarketmakersystemratherthanaspecialistsystem.a.NYSE.b.AMEX.c.NASDAQ.d.NIKKEIe.Noneoftheabove.Difficultylevel:EasyOVER-THE-COUNTERMARKETc24.Asecuritiesmarketprimarilycomprisedofdealerswhobuyandsellfortheirowninventoriesisgenerallyreferredtoasa(n)______market.a.auctionb.privatec.over-the-counterd.regionale.electronicnetworkDifficultylevel:EasyECNsd25.Electroniccommunicationsnetworks,orECNs,actto:a.increaseliquidity.b.increasecompetition.c.increasethecosttoinvest.d.A&B.e.A&C.Difficultylevel:MediumII.CONCEPTSVALUATIONOFZEROGROWTHSTOCKc26.TheJamesRiverCo.paysanannualdividendof$1.5