Ownership & Voting Rights
A legal business entity separate from its owners that offers limited liability.
What is a Corporation?
Real cash payments sent directly from company profits straight to stockholders.
What is a Cash Dividend?
This class of stock receives cash dividends before common stockholders receive a single cent.
What is Preferred Stock?
The activity ratio that measures how fast products move off store shelves.
What is Inventory Turnover?
What is the largest state in the United States?
Alaska
Two reasons why companies issue and sell stock to raise capital.
What are building new factories, creating products, or expanding globally?
The percentage of profit kept inside the business to reinvest and grow.
What is the Retention Ratio?
In a 2-for-1 stock split, 1 share originally valued at $100 converts into this.
What are 2 shares worth $50 each?
The liquidity ratio that strips out slow-selling inventory to test emergency bill-paying capacity.
Quick ratio
Who is the artist behind the 1986 hit “Livin’ on a Prayer”?
Bon jovi
The voting system where shareholders receive 1 vote per share for each open board seat.
Traditional voting
The official dividend date when the Board of Directors formally announces an upcoming payout.
What is the Declaration Date?
Preferred stock is often called a hybrid investment because it pays a fixed payout like this security.
What is a Bond?
Operating, Investing, and Financing activities make up the three buckets of this financial statement.
What is the Statement of Cash Flows?
What is the world's oldest known musical instrument?
flute
The voting structure that allows smaller shareholders to bundle all their votes together for a single board seat.
Cumulative voting
If you purchase a stock on or after this key date, you will not receive the upcoming dividend payment.
What is the Ex-Dividend Date?
When a company repurchases its own stock from the market, the repurchased shares are held as this.
What is Treasury Stock?
Spending cash to buy new factory buildings or selling off old equipment belongs in this cash flow bucket.
What are Investing Activities?
Which sport uses the terms "googly" and "bouncer"?
cricket
Rights that give current shareholders the first opportunity to buy new shares before ownership is diluted.
Preemptive rights
The practice of paying stockholders bonus shares of stock instead of distributing cash.
Stock dividend
Cutting a 4-slice pizza into 8 slices is an analogy used to describe this corporate transaction.
What is a Stock Split?
This profitability metric measures how effectively management turns investor cash into new profits.
ROE
What is the rarest M&M color?
Brown