How can a firm effectively incorporate a maturity provision within a preferred stock issue? By including a preemptive right By including a voting provision By including a participating provision By including a call provision By including a cumulative dividends provision Assume that a firm distributes all of its earnings as dividends. Which of the following is indicated by a price- earnings (P/E) ratio of 10? It would take 10 years for an investor to recover his or her initial investment The firm will pay a dividend of $10 per share. An investor would receive 10 percent of the total carnings of the firm at the time of liquidation The stock's value will increase by 10 percent every year. The value of the stock will be 10 times the initial investment at the time of maturity