Assume that a firm was about to be liquidated after a bankru…

Assume that a firm was about to be liquidated after a bankruptcy. All of the firm’s assets are to be sold in order to pay the following claims against the firm: bondholders, preferred stockholders, and common stockholders. Of the claims mentioned, in what priority would common stockholders be paid?

Consider an investment with an initial cost of $20,000 and t…

Consider an investment with an initial cost of $20,000 and the following expected cash flows:               Year          Cash Flow                  0               -$20,000                  1                 $  5,000                  2                 $  5,000                  3                 $  5,000                   4                 $  5,000                   5                 $  5,000                   6                 $  5,000 The total cash inflow is expected to be $33,000 or an average of $5,500 per year. What is the payback period for this investment?

Last year, Mike bought 100 shares of Dallas Corporation comm…

Last year, Mike bought 100 shares of Dallas Corporation common stock for $53 per share. During the year he received dividends of $1.45 per share. The stock is currently selling for $60 per share. What total percent return (i.e. the holding period return or realized return rate) did Mike earn over the year?