Briefly describe what an equity carveout is, and what is the typical stock price  reaction for ‘parent’ firms announcing a carveout (positive, negative, or neutral),  according to the empirical finance literature

Defining common stock yield and its importance to investors Define and explain a bond yield's importance. What makes a stock investor different from a bond investor? What are their expectations? What are investors' alternatives if no common dividend is paid? What alternatives do bondholders have if interest payments are missed?

Ultimately what determines the value of a share of common stock? Which would be more appropriate for evaluating your company's stock price, a constant or non-constant growth model, and why?

Which of the following is the best reason why the price-earnings method is often used by investors to estimate the fair price of a stock? a) Because the earning multiples are easily found in online financial databases. b) Earnings per share is a known amount that is related to the payment of future dividends. c) Because the price-earnings method gives the same answer as the constant growth method and is easier to compute. d) The price-earnings method has been shown to provide the most accurate price estimate.

What are the benefits of a stock buyback to investors?