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  3. 16) xeris, inc. has 1,000 shares of 5%, $10 par va

16) Xeris, Inc. has 1,000 shares of 5%, $10 par value, cumulative preferred stock and...

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16) Xeris, Inc. has 1,000 shares of 5%, $10 par value, cumulative preferred stock and 50,000 shares of $1 par value common stock outstanding at December 31, 2019. What is the annual dividend on the preferred stock? a. $5 per share b. $500 in total c. $5,000 in total d. $.05 per share 17) One potential advantage of financing corporations through the use of bonds rather than common stock is a. the interest on bonds must be paid when due b. the corporation must pay the bonds at maturity c. the interest expense is deductible for tax purposes by the corporation d. a higher earnings per share is guaranteed for existing common shareholders

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