Preferred Stock Flashcards
1
Q
What percentage of preferred stock dividends are not taxable for corporations?
A
70%
2
Q
Formula for Current Yield
A
Market Price
3
Q
Formula for Parity Price of Convertible Stock
A
Market Price of Common Stock * Conversion Ratio
4
Q
ADR
A
American Depositary Receipt; way to trade foreign securities in the US; no voting rights, still get dividends
5
Q
Formula for Price/Earning Ratio
A
Earnings per share
6
Q
Formula for earnings per share
A
Multiple (P/E Ratio)