Answer:
1. It is not easy to get funds for a start up, as many banks do not consider it as a successful decision to provide loan to a start up, as the feasibility of recovery of loan cannot be identified and guaranteed.
2. Venture capitalists also faces the same issue as of bank, also they are large equity investors and tend to invest in even larger project.
3. Private investors do not blindly invest and rather are more cautious then banks or venture capitalists, as because they do not huge funds to invest, and with less amount of investment they need even higher assurance.
4. Public stock is never available for a start up as for public stock issue you need great credibility, and good previous record.
Answer:
It will be reported as gain.
Explanation:
If the fair value of the net identifiable assets acquired exceeds the fair value of the consideration given (purchase cost) will be a <u>negative goodwill.</u>
It will be due to <em>"bargain purchase"</em> and the accounting records the "negative goodwill" as a gain in the income statment
A country with an absolute advantage over another country achieves this if their production costs are lower.
Absolute advantage means a company or individual out perform another more efficiently. In this case, if two companies are making a product and one selling them for the same price, but one company can make the product for cheaper, they have an absolute advantage.
Answer:
Explanation:
Part One: Demand falls/ declines once the price of movie ticket increases.
Part Two: Demand declines also when the price of the local Internet Service provider increases.
Part Three: Demand declines when the price of cappuccino increases
Answer:
$4
Explanation:
Every year, the bond will make a year of 1% of 100.
1% of $100 is equal to
=1/100 x $100
=0.01 x 100
=$1
In four years, the bond will have made $1 X 4
=$4 dollars
