Question 6 (4 points) If dividends in arrears on preferred shares must be paid before common stockholders are entitled to any dividends, then the preferred stock must be: cumulative. callable. convertible. participating. Question 7 (3 points) A unique feature of common stock is that common stock has a par value, while preferred stock does not. True False Question 8 (4 points) The charter of a corporation provides for the issuance of 100,000 shares of common stock. Assume that 40,000 shares were originally issued and 10,000 were subsequently reacquired. What is the number of shares outstanding? 10,000 40,000 30,000 50,000 Question 9 (4 points) Nebraska Inc. issues 3,000 shares of common stock for $45,000. The stock has a par value of $10 per share. The journal entry to record the stock issuance would include a credit to Common Stock for $30,000 $45,000 $15,000 $3,000