# who bears the greatest risk of loss of value if a firm should fail? group of answer choices bondholders common stockholders all of the above bear equal risk of loss. preferred stockholders

Common stockholders bear the greatest risk of loss of value if a firm should fail.

There are two sorts of shareholders in a company: common shareholders and preferred shareholders. They are the owners of common stocks, as their name implies, in a corporation. These individuals enjoy voting rights over matters concerning the company.

A person who has acquired at least one common share of a corporation is referred to as a common shareholder. Common shareholders have entitled to declared common dividends as well as a vote on corporate matters. In the event of bankruptcy, common shareholders are compensated last, following preferred shareholders and debtholders.

#SPJ4

## Related Questions

Assume that two countries (Home and Foreign) each produce two goods (corn and wheat) under constant cost production. Home produces 0.5 ton of corn or 1 ton of wheat with a day of labor. Foreign produces 1 ton of corn and 0.5 ton of wheat. Without trade (in autarky), Home's daily production is 20 tons of wheat and 10 tons of corn. At which international price will Home's gains from trade be largest?

1/2 ton of wheat per ton of corn

Explanation:

Home produces 0.5 ton of corn or 1 ton of wheat with a day of labor:

Opportunity cost of producing a ton of corn = (1 ÷ 0.5)

=  2 tons of wheat

Opportunity cost of producing a ton of Wheat = (0.5 ÷ 1)

=  0.5 tons of corn

Foreign produces 1 ton of corn and 0.5 ton of wheat:

Opportunity cost of producing a ton of corn = (0.5 ÷ 1)

=  0.5 tons of wheat

Opportunity cost of producing a ton of Wheat = (1 ÷ 0.5)

=  2 tons of corn

Therefore,

Foreign has a comparative advantage in producing corn because of lower opportunity cost and Home has a comparative advantage in producing wheat.

So, home country will be importing corn from foreign. Hence, if the international price will be 0.5 tons of wheat per ton of corn then the home country will get the largest gains from the trade because it is willing to sacrifice 2 tons of wheat for a ton of corn.

What is the interest rate charged per period multiplied by the number of periods per year called?a. effective annual rateb. annual percentage ratec. periodic interest rated. compound interest rate

The correct answer is letter "B": annual percentage rate.

Explanation:

The Annual Percentage Rate or APR is the cost per year of borrowing. By law, all financial institutions must show customers the APR of a loan or credit card, which clearly indicates the real cost of the loan. It is not the same as the Interest Rate on a loan. Loans charge interest rates but usually charge other fees such as closing costs, origination fees, and insurance costs.

Prompt What is liability?

A liability refers to any amount or debt that a firm or an individual owes, often arising from past transactions where assets were borrowed under the agreement of a future payback.

### Explanation:

It can be seen as an obligation that the entity must fulfill in the future using their assets. A liability is often the result of a past transaction or event, where the entity has agreed to borrow assets and pay a certain rate of return.

Liabilities can be both short-term, such as accounts payable, or long-term, such as long-term debt. It is important for businesses and individuals to manage their liabilities effectively to maintain financial stability.

For example, a bank loan that a company uses to invest in new equipment would be considered a liability, as it represents an amount that the company is obligated to repay in the future.

brainly.com/question/18484315

#SPJ12

The state of being responsible for something, especially by law

Javonte Co. set standards of 2 hours of direct labor per unit of product and \$15.80 per hour for the labor rate. During October, the company uses 12,100 hours of direct labor at a \$193,600 total cost to produce 6,400 units of product. In November, the company uses 16,100 hours of direct labor at a \$258,405 total cost to produce 6,800 units of product. AH = Actual Hours SH = Standard Hours AR = Actual Rate SR = Standard Rate (1) Compute the direct labor rate variance, the direct labor efficiency variance, and the total direct labor cost variance for each of these two months. Classify each variance as favorable or unfavorable. (2) Javonte investigates variances of more than 5% of actual direct labor cost. Which direct labor variances will the company investigate further?

October

direct labor rate variance =\$2,420 unfavorable

direct labor efficiency variance  =\$11,060 favorable

direct labor cost variance  = \$ 8,640 favorable

Investigate : direct labor efficiency variance

November

direct labor rate variance = \$4,025 unfavorable

direct labor efficiency variance =\$ 39,500 favorable

direct labor cost variance  = \$35,475 favorable

Investigate : direct labor efficiency variance

Explanation:

October

direct labor rate variance = (Aq × Ap) -  (Aq × Sp)

= (12,100×\$16) - (12,100×\$15.80)

=\$2,420 unfavorable

direct labor efficiency variance = (Aq × Sp) - (Sq × Sp)

=(12,100 × \$15.80) - (6,400×2 ×\$15.80)

=\$11,060 favorable

direct labor cost variance = direct labor rate variance + direct labor efficiency variance

= \$2,420 (A) + \$11,060 (F)

= \$ 8,640 favorable

November

direct labor rate variance = (Aq × Ap) -  (Aq × Sp)

= (16,100×\$16.05) - (16,100×\$15.80)

= \$4,025 unfavorable

direct labor efficiency variance = (Aq × Sp) - (Sq × Sp)

=(16,100 × \$15.80) - (6,800×2 ×\$15.80)

=\$ 39,500 favorable

direct labor cost variance = direct labor rate variance + direct labor efficiency variance

= \$4,025 (A) + \$ 39,500 (F)

= \$35,475 favorable

Almost overnight, several police officers, all members of the police force of the growing suburb of mayberry, called in sick. as the dispatcher took those calls, one right after the other, she speculated that there could be more to this story than she was hearing. in fact, she thought it might be related to the emotional banter she heard the night before in the locker room as several members of the force were leaving their shifts. the group was not happy with the recent changes in scheduling, the excessive overtime hours, and, management's reluctance to begin negotiations on a new benefits package. she heard one officer saying, "it's time for a mental health day!" although it is illegal for police to strike, what the police dispatcher was witnessing may have been ______.

What the police dispatcher was witnessing may have been "a blue flue".

A blue flu is an informal term used to portray a sort of strike activity embraced by cops in which an expansive number simultaneously utilize sick leave. A blue flue is a strike activity by police in a few sections of the US where police strikes are denied by law.

The correct answer is:  a Blue Flu.

Explanation:

A Blue Flu is the act by which police officers call in sick leaves massively as a form of protest against labor conditions. This action is carried out because law enforcement deputies in most parts of the United States are not allowed to go on a strike by law.

Doing business in the financial markets most fundamentally presupposes that _______ will be respected.