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Match Each of the Appropriate Definition with the Correct Item

Question 225

Matching

Match each of the appropriate definition with the correct item.

Premises:
Preferred stock that is not entitled to receive past, unpaid dividends
Any dividends owed to the preferred shareholders from past years that were not declared and are currently unpaid
Owners’ contributions to a firm
Date when cash dividends are actually paid to shareholders of a corporation
The excess over par value received by a corporation when it issues stock
Type of corporate stock that has preference rights over common stock
Stock of a corporation that has been issued and has been repurchased by the issuing corporation
Shares of ownership in a corporation
Stock on which the fixed dividend amount accumulates from year to year; the entire amount of all past unpaid dividends must be paid to the preferred shareholders before any dividends can be paid to the common shareholders
Responses:
payment date
treasury stock
contributed capital
dividends in arrears
additional paid-in capital
noncumulative preferred stock
cumulative preferred stock
preferred stock
capital stock

Correct Answer:

Preferred stock that is not entitled to receive past, unpaid dividends
Any dividends owed to the preferred shareholders from past years that were not declared and are currently unpaid
Owners’ contributions to a firm
Date when cash dividends are actually paid to shareholders of a corporation
The excess over par value received by a corporation when it issues stock
Type of corporate stock that has preference rights over common stock
Stock of a corporation that has been issued and has been repurchased by the issuing corporation
Shares of ownership in a corporation
Stock on which the fixed dividend amount accumulates from year to year; the entire amount of all past unpaid dividends must be paid to the preferred shareholders before any dividends can be paid to the common shareholders
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