Contributed capital as shown on a corporate balance sheet includes the share accounts and any contributed surplus as well as retained earnings.
22) Preferred shares are a hybrid between common shares and long-term debt.
23) The president of the corporation can declare dividends.
24) Explain the fundamental difference between retained earnings and share capital.
25) List several characteristics of a corporation. Indicate, wherever appropriate, if the characteristic is an advantage or a disadvantage of the corporate form of business.
26) What type of shares would an investor purchase if he or she were primarily interested in a safe investment?
27) What type of shares would an investor purchase if he or she were primarily interested in steady dividends?
28) What type of shares would an investor purchase if he or she were primarily interested in increasing dividends?
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