Under American common law, employees are presumed to:
a. work at a certain rate b. work at will
c. work for compensation d. work for nothing
e. work for agencies
Question 2
Price owns 2,000 shares of Universal Corp's 10 cumulative preferred stock. During its first year of operations, cash dividends of 5 per share were declared on the preferred stock but were never paid. In the second year, dividends on the preferred stock were neither declared nor paid. If Universal is dissolved, which of the following statements is correct?
a. Universal will be liable to Price as an unsecured creditor for 10,000.
b. Universal will be liable to Price as a secured creditor for 20,000.
c. Price will have priority over the claims of Universal's bond owners.
d. Price will have priority over the claims of Universal's unsecured judgment creditors.
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