California adventures issues 5,000 shares of 8% , $100 par value preferred stock at the beginning of 2017. all remaining shares are common stock. the company was not able to pay dividends in 2017, but plans to pay dividends of $100,000 in 2018. assuming the preferred stock is noncumulative, how much of the $100,000 dividend will be paid to preferred stockholders and how much will be paid to common stockholders in 2018? a. $40,000 to preferred stockholders and $60,000 to common stockholders. b. $80,000 to preferred stockholders and $20,000 to common stockholders. c. $20,000 to preferred stockholders and $80,000 to common stockholders. d. $100,000 to preferred stockholders and $0 to common stockholders.

The east asiatic company (eac), a danish company with subsidiaries throughout asia, has been funding its bangkok subsidiary primarily with u.s. dollar debt because of the cost and availability of dollar capital as opposed to thai baht-denominated (b) debt. the treasurer of eac-thailand is considering a 1-year bank loan for $247,000.the current spot rate is b32.03 /$, and the dollar-based interest is 6.78% for the 1-year period. 1-year loans are 12.04% in baht.a. assuming expected inflation rates of 4.3 % and 1.24% in thailand and the united states, respectively, for the coming year, according to purchase power parity, what would the effective cost of funds be in thai baht terms? b. if eac's foreign exchange advisers believe strongly that the thai government wants to push the value of the baht down against the dollar by5% over the coming year (to promote its export competitiveness in dollar markets), what might the effective cost of funds end up being in baht terms? c. if eac could borrow thai baht at 13% per annum, would this be cheaper than either part (a) or part (b) above?