Who bears the greatest risk of loss of value if a firm should fail?
A) common stockholders B) preferred stockholders
C) bondholders D) All of the above bear equal risk of loss.
A
Business
You might also like to view...
Discuss how legal liabilities might affect a bad-news message
What will be an ideal response?
Business
LaMike owns 1,000 shares of DAS, Inc.'s common stock. The stock has a par value of $1 per share
and is currently selling for $80 per share. DAS declares a 20% stock dividend. In a perfect capital market, after the dividend Sam will have A) 1,200 shares selling for $66.67 each. B) 1,200 shares selling for $96.00 each. C) 1,020 shares selling for $80.80 each. D) 1,020 shares selling for $64.00 each.
Business