How is preferred stock affected by a decrease

Reference no: EM13300541

How is preferred stock affected by a decrease in the required rate of return?

1 - The value of a share of preferred stock increases.
2 - The dividend increases
3 - The dividend decreases
4 - The dividend yield increases

This was posted before but the person answering the question did not type in the one word that changes two answers. The dividend YIELD increases. So the answer given was not conclusive. Please help. Thanks

Reference no: EM13300541

Questions Cloud

Calculate india average annual growth rate of prices : Calculate India's average annual growth rate of prices over the decade.

What will be the monthly power bill at electricity costs : Water is pumped 9 mi from a reservoir at elevation 100 ft to a second reservoir at elevation 210 ft. The pipeline connecting the reservoirs has a 54-in diameter. It is concrete and has an absolute roughness of 0.003.

What is the speed of the stone as the string breaks : A certain string can withstand a maximum tension of 36 N without breaking. What is the speed of the stone as the string breaks

Determine by how much is the delivered power reduced : Your neighbor has the Bonda generator in the next problem and they have graciously extended a 100 foot extension cord to your home, which has a resistance of 0.0075 ohms per foot of wire (per lead). By how much is the delivered power reduced

How is preferred stock affected by a decrease : This was posted before but the person answering the question did not type in the one word that changes two answers. The dividend YIELD increases. So the answer given was not conclusive. Please help. Thanks

Determine the height from the ground at which ball pass : Ball A is thrown vertically upward from the top of a 20-{\rm m}-high-building with an initial velocity of 3m/s . At the same instant another ball B is thrown upward from the ground with an initial velocity of 16m/s .

Why the earnings per share of barnes enterprises changed : If all the shares of Noble Corporation are exchanged for those of Barnes Enterprises on a share-for-share basis, what will postmerger earnings per share be for Barnes Enterprises?

Discuss the nature of materiality and the basis : Discuss the relevance of the company policy to the firms' treatment of doubtful debts for the year ended 30/6/2013? How would the auditor determine whether the 30/6/2013 doubtful debts calculation for 2013 is reasonable?

Explain the molecular geometry is trigonal bipyramidal : When the lone pair of electrons in SF4 is placed at the equatorial position, which of the following is true. The molecular geometry is trigonal bipyramidal.

User Account

All Pages