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1.) BEK Inc. has $5,000 debt outstanding that it needs to pay in full over the next year. The firm's shareholders hold claim to whatever

1.) BEK Inc. has $5,000 debt outstanding that it needs to pay in full over the next year. The firm's shareholders hold claim to whatever is left after the debtholders' claims have been satisfied. If the assets of BEK Inc. total $2,000 at the end of the year, how much is the debt worth and how much is the equity worth? How would your answers change if the assets total $3,600 and $7,500?

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