does not want a dividend in one la stock. The com Priscilla owns 500 shares of Delta stock. The company recenti $1.00 per share dividend in one year and a $.50 per share liqui does not want any dividend in year one but does want as much dividend me two. The required return on this stock is 12 percent. (i) Ignoring taxes, what is the value of one share of Delta stock today? (SHOW cock. The company recently issued a statement that it will pay a da S.50 per share liquidating dividend in two years. Priscilla much dividend income as possible in year ANSWER stock today? (SHOW YOUR WORK) (1 POINT) (ii) Ignoring taxes, what will Priscilla's maximum (homemade) dividend per share be in year two? (SHOW YOUR WORK) ANSWER (2 POINTS) 4. () D & F, Inc. expects sales of $620, $650, $730 and $780 for the months of April through July, respectively. The firm collects 20 percent of sales in the month of sale, 50 percent in the month following the month of sale and 28 percent in the second month following the month of sale. The remaining 2 percent of sales is never collected. How much money does the firm expect to collect in the month of July? (SHOW YOUR WORK) ANSWER (2 POINTS) (ii) On April 1", ABD Co. had a beginning cash balance of $280. ABD's sales are on credit only. Sales for March were $460 and April sales were $510. During April ABD had cash expenses of S130 and payments on accounts payable of $210. ABD's accounts receivable period is 30 days. What is ABD's beginning cash balance on May 1"? (SHOW YOUR WORK) NSWER (2 POINTS)