True or False. Business risk is the risk to the form of being unable to cover required financial obligations such as interest payments. True False Cronin Corp. has preferred stock that just paid an annual dividend of $4. It will continue to pay $4 each year into perpetuity. Their preferred stock has a par value of $80, but is currently selling for $100. The cost of Cronin's preferred stock is and the most money a preferred shareholder would ever be able to get in the case of the firm's bankruptcy (liquidation) at some future time is 4.00%; $100 O 5.00%; $100 4.00%; $80 O 5.00%; $80 None of the above are correct. George Steele (nicknamed "The Animal" by his friends) is considering investing in a new project. The project will need an initial investment (today) of $975,000 and will generate $300,000 (after- tax) annual operating cash flows for the next four years. The first $300,000 occurs one year from today and the last occurs four years from today. Calculate the IRR for the project. The IRR for this project is less than 6 percent. The IRR for this project is greater than or equal to 6 percent but less than 7 percent. The IRR for this project is greater than or equal to 7 percent but less than 8 percent. The IRR for this project is greater than or equal to 8 percent but less than 9 percent. The IRR for this project is greater than or equal to 9 percent