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Stock Valuation Chapter Exam

Exam Instructions:

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

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Question 1 1. Dealers in the stock market are also sometimes known by what other nickname?

Question 2 2. How many main types of stock are there and what are they called?

Question 3 3. Why would the stock inventory go down if a dealer received a buy order from a client?

Question 4 4. If 1,000 shares of stock of XYZ Company are issued, and you purchase 300 shares at $30.00 per share, do you have ownership in the corporation, and if so, how much?

Question 5 5. What is a dividend?

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Question 6 6. What is the purpose of stock valuation?

Question 7 7. Which of the following growth valuation methods assumes no change in the dividend rate?

Question 8 8. What is common stock?

Question 9 9. Which of the following statements is true of two-stage stock valuation methods?

Question 10 10. Tom is considering purchasing stock that historically paid dividends of $0.25 the first time, $0.50 the second, and $0.75 the third. Why should Tom use the constant-growth valuation method?

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Question 11 11. Which of the following is true of stock market brokers?

Question 12 12. What is preferred stock?

Question 13 13. Which kind of business that facilitates stock trades is the most common?

Question 14 14. If ABC Company issues dividends payable to common stock holders for the first quarter of 2014, must the company first pay dividends owed to preferred stockholders?

Question 15 15. How do stock market brokers make a profit?

Stock Valuation Chapter Exam Instructions

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

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