Finance and Investment Quiz

Which of the following is a feature of preference shares?

• Voting rights

• Fixed dividends

• No dividend payments

• Higher risk than ordinary shares

What is the primary function of a stock exchange?

• To provide loans to companies

• To facilitate the buying and selling of shares

• To regulate interest rates

• To issue government bonds

What is one key difference between public and private companies in terms of ownership?

• Public companies are owned by private investors.

• Private companies are owned by shareholders.

• Public companies are owned by shareholders, promoters, and general investors.

• Private companies are owned by the public.

In the UK, what abbreviation might you find in the name of a private company?

• plc

• ltd

• inc

• corp

What qualification is required for a company secretary when a private company re-registers as a public company?

• No qualification needed

• Professional qualification

• High school diploma

• Bachelor's degree

What type of accounts must a company file when re-registering as a public company?

• Abbreviated accounts

• Full accounts

• Simplified accounts

• Interim accounts

What is one of the restrictions on a company that re-registers as a public company regarding dividends?

• No restrictions

• Slightly more restricted in the funds it can use

• Completely restricted from paying dividends

• Must pay dividends monthly

Who votes on resolutions at company meetings?

• The CEO

• The shareholders

• The employees

• The board of directors

What happens to shareholders if the company does badly?

• They receive more dividends

• The value of the company increases

• They are unaffected

• They receive less or no dividends

How often are dividends typically paid to shareholders?

• Annually

• Monthly

• Half-yearly or quarterly

• Daily