Currie & Associates Inc. was a mid-size company that was started five years ago by Arthur Currie with the support of four private investors. They initially invested $372,000 each for a total of $1,488,000 and took back 15,000 common shares. The company also issued $1,980,000 in preferred shares and secured a long-term loan for $496,000. The company had a few successful years; however, it succumbed to competition and it eventually ran out of funding. There are no dividends in arrears on the preferred shares. The company did successfully develop several products that it patented and it acquired assets to manufacture those productsall of which still have value. The shareholders are planning an organized windup of the company and plan to sell all the assets at an auction. A summary of the companys statement of financial position is as follows:

CURRIE & ASSOCIATES INC. Statement of Financial Position as at June 30, 2020
Total assets		$4,799,000
Total liabilities (including long-term debt)		546,000
Preferred shares		1,980,000
Common shares		1,488,000
Retained earnings		785,000
Total liabilities and equity		$4,799,000

How much will each group of shareholders receive on the windup if Currie & Associates is able to sell its assets for: i. $1,706,000? ii. $4,799,000? iii. $5,956,000?

If assets sold for		(i) $1,706,000		(ii) $4,799,000		(iii) $5,956,000
Preferred shareholders entitlement
Common shareholders entitlement		$		$		$

What is the return to the common shareholders on windup for each of the three value scenarios in part a if dividends on common shares were never paid?

		(i)		(ii)		(iii)
The windup return would be		samehigherlower		samehigherlower		samehigherlower