The business risk of a company: multiple choice
a. is dependent upon the relative weights of the debt and equity used to finance the company.
b. has a positive relationship with the company's cost of equity.
c. depends on the company's level of unsystematic risk.
d. has no relationship with the required return on a company's assets according to m& m theory.
e. is inversely related to the required return on the company's assets.

Ashare stock is a small piece of ownership in a company ture or false

Torino company has 1,300 shares of $50 par value, 6.0% cumulative and nonparticipating preferred stock and 13,000 shares of $10 par value common stock outstanding. the company paid total cash dividends of $3,500 in its first year of operation. the cash dividend that must be paid to preferred stockholders in the second year before any dividend is paid to common stockholders is:

Cash flows during the first year of operations for the harman-kardon consulting company were as follows: cash collected from customers, $385,000; cash paid for rent, $49,000; cash paid to employees for services rendered during the year, $129,000; cash paid for utilities, $59,000. in addition, you determine that customers owed the company $69,000 at the end of the year and no bad debts were anticipated. also, the company owed the gas and electric company $2,900 at year-end, and the rent payment was for a two-year period.