SIE Exam - Chapter 1 with all Correct & 100% Verified
Answers |Latest Version |Already Graded A+
1. common stock Ownership interest (equity) in an issuing corporation. The units are called
shares.
2. authorized stock The fixed number of common shares issued by a corporation. Par
value ("price" of the share) has no bearing on the market price of
stock.
3. issued stock The subset of authorized stock sold to the public.
4. outstandi The shares of issued stock.
ng shares
5. treasury stock Repurchased shares of issued stock (outstanding shares). Can be
resold in the future or used to finance the acquisition of another
company.
6. differences 1) common shares have voting rights and dividends
be-tween
2) treasury stock does not have these rights
treasury stock
and shares
outstanding
7. settlement When an investor buys a security, they immediately take economic
ownership of it. However, they will not be recorded as the new owner
until THIS time.
8. regular way Settlement occurs one business day after the trade date. This is called
set-tlement
T+1 settle-ment.
9. cash dividends Enable a company to share part of the corporation's profits with
shareholders. They are declared by the board of directors and are
typically paid quarterly to shareholders of record. Typically, utilities pay
higher than average of these while high-tech companies may not pay it
at all.
1/
13
, SIE Exam - Chapter 1 with all Correct & 100% Verified
Answers |Latest Version |Already Graded A+
10. profits earnings
11. stock dividends Giving additional shares to existing stockholders. When this
happens, the total number of shares outstanding increase, but the
value of each share decreases. Since there is no economic value, a
stock dividend is not currently taxable.
2/
13
Answers |Latest Version |Already Graded A+
1. common stock Ownership interest (equity) in an issuing corporation. The units are called
shares.
2. authorized stock The fixed number of common shares issued by a corporation. Par
value ("price" of the share) has no bearing on the market price of
stock.
3. issued stock The subset of authorized stock sold to the public.
4. outstandi The shares of issued stock.
ng shares
5. treasury stock Repurchased shares of issued stock (outstanding shares). Can be
resold in the future or used to finance the acquisition of another
company.
6. differences 1) common shares have voting rights and dividends
be-tween
2) treasury stock does not have these rights
treasury stock
and shares
outstanding
7. settlement When an investor buys a security, they immediately take economic
ownership of it. However, they will not be recorded as the new owner
until THIS time.
8. regular way Settlement occurs one business day after the trade date. This is called
set-tlement
T+1 settle-ment.
9. cash dividends Enable a company to share part of the corporation's profits with
shareholders. They are declared by the board of directors and are
typically paid quarterly to shareholders of record. Typically, utilities pay
higher than average of these while high-tech companies may not pay it
at all.
1/
13
, SIE Exam - Chapter 1 with all Correct & 100% Verified
Answers |Latest Version |Already Graded A+
10. profits earnings
11. stock dividends Giving additional shares to existing stockholders. When this
happens, the total number of shares outstanding increase, but the
value of each share decreases. Since there is no economic value, a
stock dividend is not currently taxable.
2/
13
