Stock Valuation and Dividends Assessment

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Questions and Answers

What does the term 'dividend growth zero' represent in the context of stock valuation?

  • Negative growth in dividends
  • Stable but low growth in dividends
  • Unpredictable growth in dividends
  • No growth in dividends over time (correct)

In stock valuation, what does 'preemptive right' refer to?

  • The right to appoint the management team
  • The right to vote for board of directors
  • The right to receive dividend payments before other shareholders
  • The right to purchase additional shares of newly issued stock to maintain ownership percentage (correct)

What is the primary goal of management as related to common stock?

  • Stabilizing stock prices
  • Maximizing shareholder wealth (correct)
  • Maximizing dividends for shareholders
  • Minimizing risk for shareholders

What type of stock represents ownership with voting rights and a share in profits through dividends?

<p>Common Stock (A)</p> Signup and view all the answers

Which category of stock has the first claim on assets during liquidation after bonds and preferred stock?

<p>Common Stock (C)</p> Signup and view all the answers

What is the primary market for IPOs?

<p>Public offering of shares market (B)</p> Signup and view all the answers

In the context of stock quotes, what does 'LAST' refer to?

<p>The most recent price the stock traded for on a trading day (A)</p> Signup and view all the answers

Which characteristic is primarily associated with dividends?

<p>Liability that can be indefinitely postponed (B)</p> Signup and view all the answers

What is the formula to calculate the present value (PV) of expected cash flows for stock valuation?

<p>$PV = D1 / (1 + r) + D2 / (1 + r)^2 + (D3 + P3) / (1 + r)^3$ (B)</p> Signup and view all the answers

What is the perpetuity formula used for valuing stocks with constant dividend payments?

<p>$P0 = D / R$ (C), $P0 = D / R$ (D)</p> Signup and view all the answers

Apakah yang dimaksudkan dengan 'Perolehan Modal' bagi pemegang saham?

<p>Peningkatan nilai saham yang dibeli oleh pemegang saham (C)</p> Signup and view all the answers

Apakah makna 'Harga Terakhir' dalam petikan saham yang dinyatakan sebagai 'LAST'?

<p>Harga transaksi terkini saham tersebut (C)</p> Signup and view all the answers

Apakah ciri utama daripada Dividen?

<p>Boleh ditunda tanpa had masa (C)</p> Signup and view all the answers

Apakah formula untuk mengira Nilai Masa Hadapan (FV) bagi penilaian saham?

<p>$FV = PV(1 + r)^n$ (D)</p> Signup and view all the answers

Apakah yang dimaksudkan dengan 'Aliran Tunai Jangkaan (Expected Cash Flows)' dalam penilaian saham?

<p>Bayaran dividen yang dijangka akan diterima daripada pelaburan saham (A)</p> Signup and view all the answers

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