please answer question 2-5

When is a stock said to be in equilibrium? Why might a stock at any point in time not be in equilibrium? Is it better for a firm's actual stock price in the market to be under, over, or equal to its intrinsic value? Would your answer be the same from the standpoints of stockholders in general and a CEO who is about to exercise a million dollars in options and then retire? Explain. 4 What are the various forms of business organization? What are the advantages and disadvantages of each? The president of Southern Semiconductor Corporation (SSC) made this statement in the company's annual report: 'SSC's primary goal is to increase the value of our common stockholders' equity." Later in the report, the following announcements were made. Discuss how SSC's stockholders might view each of these actions and how the actions might affect the stock price. a. The company contributed $1.5 million to the symphony orchestra in Birmingham, Alabama, its headquarters city. b. The company is spending $500 million to open a new plant and expand operations in China. No profits will be produced by the Chinese operation for 4 years, so earnings will be depressed during this period versus what they would have been had the decision been made not to expand in China. c. The company holds about half of its assets in the form of U.S. Treasury bonds, and it keeps these funds available for use in emergencies. In the future, though, SSC plans to shift its emergency funds from Treasury bonds to common stocks