Reference no: EM132844921

Companies can raise money through common stocks. Investors buy stocks and get the benefits of ownership of a firm. How to price stocks is the main objective of this assessment, in which you will learn about the differences between common and preferred stocks, the different stock valuation models, and the major stock market indexes

Problem 1: Describe the rights and advantages belonging to shareholders

Problem 2: Explain the differences between the Standard and Poor's 500 Index and the Dow Jones Industrial Average. Which is a better measure of stock market performance? Why?

Problem 3: Describe the differences between common stock and preferred stock.

• Use references to support your responses as needed. Be sure to cite all references using correct APA style.