DUE 07/08/2022 Q 11:59 PM. FROM text "basic business structures for the paralegal" 9th edition pp by Bouchoux. . this week we a tee e on Chapter 9 - Corporate Finance Structures

Chapter 9. Corporate Financial Structure Discussion Questions 1. LogicCorp has five shareholders who wish to maintain control of the corporation. The corporation needs to raise n aise money. What approach should it take! 2. Apex Inc. has decided to issue securities to raise money, Securities are being issued to Max in return for his promise to provide accounting services for the corporation next year. What might the corporation do to reduce its risk and ensure that Max provides the stated consideration for the shares? 3. What is the advantage for a corporation in setting a par value for its shares of $0.10 4. Ginette owns preferred stock in Baker Corp. with an annual cumulative dividend. Marshall owns common stock in the corporation. The corporation has not issued a dividend for three years. The corporation intends to issue a dividend this month. What are Ginette's and Marshall's rights? 5. Would your answer to the previous question change if Ginette owned noncumulative preferred stock? Discuss. 6. PlexCorp issued cumulative preferred stock with a right of redemption in favor of the corporation. Under what circumstances would PlexCorp exercise its right of redemption? 7. JayCorp issued common stock to Anna and a bond to Zack. The corpo- ration will be holding a meeting to elect directors. Who will vote in the election Discuss. 8. Lovett Inc. wishes to borrow money from Bank of America. Lovett is a new corporation without an established credit rating or "track record." What might Bank of America do to reduce the risk of a default in the loan? 9. LendCorp is considering loaning money to Phillips Inc. Why would LendCorp want to negotiate a term by which Phillips agrees not to redeem any loan before the stated maturity date of 2021? 10. Harris & Young, Inc. is planning to redeem outstanding shares from its preferred shareholders and has accumulated $2 million to do so. Does the corpo- ration run any risks in accumulating these funds