What one share of the firm stock is

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Problem 1: A market maker who acts as a dealer in one or more securities on the floor of the NYSE is called a:

a. Floor trader

b. Floor post

c. Designated market maker

d. Floor broker

e. Commission broker

Problem 2: National Trucking has paid an annual dividend of $1 per share on its common stock for the past 15 years, and is expected to continue paying a dollar a share long into the future. Given this, one share of the firm's stock is:

a. Basically worthless as it offers no growth potential.

b. Equal in value to the present value of $1 paid one year from today.

c. Priced the same as a $1 perpetuity.

d. Valued at an assumed growth rate of 1 percent.

e. Worth $1 a share in the current market.

Reference no: EM132819740

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