$1.$ Common stocks typically have which of the following that bonds do NOT have?

I. Priority residual claims

II$.$ Fixed cash flows

III. Ownership in the firm

IV$.$ Tax deductibility of cash flows to investors

A$)$ I only

B$)$ I, II$,$ and IV only

C$)$ II$,$ III, and IV only

D$)$ III only

E$)$ I, II$,$ III, and IV

$8.$ Suppose you own $400,000$ shares of common stock in a firm with $50$ million total shares outstanding. The firm announces a plan to sell an additional $10$ million shares through a Rights Offering. The share price before the Rights Offering is $$32\mathrm{.}50.$ Assuming the market value of the company doesn$$t change after the Rights Offering, how many of the new shares can you purchase and what will be the share price after the rights offering?

A$)100,000$ shares; $$35\mathrm{.}00$

B$)50,000$ shares; $$29\mathrm{.}25$

C$)62,500$ shares; $$32\mathrm{.}50$

D$)32,500$ shares; $$30\mathrm{.}00$

E$)80,000$ shares; $$27\mathrm{.}08$

$9.$ Ethanol Lawn Mowers issued $500,000$ shares to the public. The gross proceeds were $$31,250,000$ and the net proceeds were $$30$ million. Merrel Bench was the lead underwriter and deal negotiator, but $10$ other investment bankers $($one of which was Golden Sax$)$ were also used to put up capital and help sell the issue. Which of the following statements is$/$are correct?

I. The public paid $$62\mathrm{.}50$ a share.

II$.$ Golden Sax was the originating house.

III. The spread per share was $$3\mathrm{.}50.$

IV$.$ The deal was not profitable for the underwriters.

V$.$ This offer was a syndicated deal.

A$)$ I, II$,$ and IV only

B$)$ III and V only

C$)$ I, IV$,$ and V only

D$)$ II and III only

E$)$ I and V only

provide detailed explanation & calculations for answers.