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Marina86 [1]
3 years ago
6

You and nine of your wealthy friends decide to purchase a local minor league baseball team. The purchase price is $15 million, 6

0 percent of which you contribute to the business as capital. Your nine friends will contribute the remaining $6 million. All 10 of you agree that you will be the sole general manager of the business, making all business and baseball decisions, except as you delegate them to employees of the business, such as a team manager or vice president of baseball operations. Due to the way you will account for the purchase of the team and player salaries, you expect the business not to make a profit until year 4. You expect that all 10 of you will remain owners of the business for at least 10 years, at which time you expect to sell the team at a profit. Which business form do you believe is best for this business
Business
1 answer:
worty [1.4K]3 years ago
4 0

Answer:

Limited liability company

Explanation:

A limited liability company is a company where the liabilities of partners is limited to the amount invested in the company. A limited liability company has features of both a partnership and a sole proprietorship

The partnership is made up of a general partner and the limited partners. the general partner is involved in the daily running of the business. The limited partners are not involved in the daily running of the business. They just contribute capital.

In this question, the person involved in the running of the business is the general partner while the other 9 friends are the limited partners.

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Producer surplus equals a. Value to buyers - Costs of sellers. b. Amount received by sellers - Costs of sellers. c. Value to buy
aev [14]

Answer:

Amount received by sellers - Costs of sellers. 

Explanation:

Producer surplus is the difference between the price of a good and the cost to sellers. It is the difference between price and the least amount sellers would be willing to sell their products.

Consumer surplus is the difference between the price at which the consumer values the good and the price of the good.

Consumer surplus = Value to buyers - Amount paid by buyers.

I hope my answer helps you

5 0
3 years ago
The management of a facility that manufactures parts for car brakes has a policy of testing only some of the items in each produ
alukav5142 [94]

The process being employed in the scenario above is called quality control. This is a system being used in means of maintaining standards with the use of testing out samples or products in order to check and maintain the standards that has been implemented.

6 0
3 years ago
Allison's requires $180,000 to fund a new project next year. The firm expects to earn excess cash of $68,000 this year after all
liraira [26]

$0 is needed

<u>Explanation:</u>

As per pecking order theory the risks and consequently cost increases in the order of own cash reserves, debt and then fresh equity . Since own cash reserves and debt could take care of funding requirement, so according to the pecking order theory as studied, the fresh equity needed is $0, which means there is no requirement.

Therefore, there should be no equity capital that should be raised in order to fund the project.

The correct answer is $0 equity.

4 0
2 years ago
Which of the following is SIQ most likely to
vaieri [72.5K]
The answer: is E
Explain: hope this helps
3 0
3 years ago
Since the middle of the 20th century, the international global business system has been shaped by global institutions. Countries
Aleks [24]

Answer:

The order in which these organizations were established, from first to last are,

1. Bretton Woods Institution: IMF and the Word Bank

2.United Nations

3. GATT

4. WTO

5. G20

Explanation:

The organizations mentioned above were created on the international forum, either to foster peace or economic growth among the nations involved. In the order in which they were created from first to last, we have;

1. Bretton Woods Institution: IMF and the World Bank- These were created on July 1944, by 43 countries in Bretton Woods, New Hampshire, United States. They were established to rebuild the economy of nations after the World Wars by encouraging cooperation among the economic drivers of these nations.

2. United Nations- This organization was created on 24th October 1945. Its aim is to enhance and promote International Peace through its policies.

3. General Agreement on Tariffs and Trade- This is a legal understanding among several nations with the intention of reducing to reasonable extent, and if possible eliminating trade barriers such as tariffs. It was established on 30th October, 1947.

4. World Trade Organization- It was established with the intention of regulating trade among nations. It was established on 1st January, 1995.

5. G20- Short for Government of 20, this is a meeting meant for both the leaders as well as the Central Bank governors of about 19 countries, along with the European Union. It was established on 20th September, 1999.

7 0
3 years ago
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