What is the main source of funds for most companies? What is meant by the company's financial deficit? (page 361 of the book)
How is it possible for issues of shares to be negative? (page 362 of the book)
What are treasury shares? (page 366 of the book)
What is meant by residual cash flow rights and residual control rights? (pages 367-368 of the book)
What is the difference between majority voting for directors and cumulative voting? (pages 368-369 of the book)
Why would investors be prepared to pay more for shares with superior voting rights? (page 369 of the book)
In what ways is preferred stock like debt? In what ways is it like common stock? (page 372 of the book)
Corporate debt may be (a) fixed or floating rate, (b) a domestic dollar bond or a Eurobond, (c) senior or subordinated, and (d) convertible or non-convertible. Explain each of these distinctions. (page 373-374 of the book)
Why are financial intermediaries different from a manufacturing corporation? (page 376 of the book)
How do financial intermediaries contribute to the functioning of the economy? Give three examples. (pages 376-377 of the book)
