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Chapter 21 - Stocks

Total questions: 15

Worksheet time: 8mins

Name
Class
Date
1.

A financial statement that reports the changes that have taken place in all of the stockholders' equity accounts during the period.

a)

Par-Value

b)

Dividend

c)

Paid in Capital in Excess of Par

d)

Statement of Stockholder's Equity

2.

Stock whose owners have certain privileges over common stockholders.

a)

Closely Held Corporation

b)

Publicly Held Corporation

c)

Preferred Stock

d)

Board of Directors

3.

A document that transfers a stockholder's voting rights to someone else.

a)

Par Value

b)

Dividend

c)

Proxy

d)

Common Stock

4.

A group of people, elected by the stockholders, who govern and are responsible for the affairs of a corporation.

a)

Preferred Stock

b)

Board of Directors

c)

Publicly Held Corporation

d)

Closely Held Corporation

5.

A corporation whose stock is widely held, has a large market, and is usually traded on a stock exchange.

a)

Preferred Stock

b)

Board of Directors

c)

Publicly Held Corporation

d)

Closely Held Corporation

6.

The dollar amount assigned to each share of stock before it is sold to the public; used to determine the amount credited to the capital stock account.

a)

Par Value

b)

Dividend

c)

Paid In Capital In Excess of Par

d)

Common Stock

7.

The account that represents the amount of cash received by a corporation over the stock's par value.

a)

Dividend

b)

Paid In Capital in Excess of Par

c)

Authorized Capital Stock

d)

Statement of Stockholder's Equity

8.

A corporation, often owned by a few people or by a family, that does not offer its stock for sale to the general public.

a)

Closely Held Corporation

b)

Board of Directors

c)

Preferred Stock

d)

Publicly Held Corporation

9.

The stock issued by a corporation when it issues only one class of stock.

a)

Common Stock

b)

Dividend

c)

Par Value

d)

Authorized Capital Stock

10.

What form of investment income is the result of a company distributing some/all of its profits to shareholders?

a)

Capital Gain

b)

Dividend

c)

Interest

d)

Premium

11.

The date when the Board of Directors announces the dividend.

a)

Payment Date

b)

Date of Record

c)

Declaration Date

d)

Ex-Dividend Date

12.

If you buy a stock before the date of record, you will receive the dividend.

a)

True

b)

False

13.

How much would a 5% preferred stock, par value $10 pay in a dividend?

a)

5% of net income

b)

5% of the amount delcared

c)

$50 per share

d)

$0.50 per share

14.

When a stock or dividend is authorized, it is...

a)

approved

b)

paid out

c)

sold

d)

bought

15.

When a stock is issued, it has been...

a)

approved

b)

paid out

c)

removed from market

d)

bought