Answer:
Small individual investors will benefit the most.
Explanation:
From the case given, it can be established that small individual investors represent the bulk of shareholders or business owners.
Also, from Smith Jones stock, we see that Pension and Mutual Fund constitute a bulk in the share position, and the direct intervention of shareholders motivate the management.
From the foregoing analysis, the shareholders holders have thus seek to incorporate corporate governance in the organization as a tool to reduce the agency problem between business owners and management. By this, management objectives and the shareholders could be aligned. The business owners singular objective is the profit maximization of their wealth, while the management is interested in their job security, status, mutual funds, pension and all. Since this objective of management has been duly taken care of by the shareholders, it is believer that this will boost the management morale and ultimately improve their performance. The result is thus increase in organisational performance with resultant growth in profit, share price and returns from the business. These are benefits to the individual investors.
Despite the doctors gloomy prognosis when i entered the hospital, i was up and about "<span>in a matter of days".
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Prognosis refers to medical term which is used for foreseeing the probability of a man's survival. When connected to substantial factual populations, prognostic evaluations can be extremely exact: for instance the statement "40% of patients with serious septic shock will die in 30 days" can be made with some certainty, on the grounds that past research found that this extent of patients passed on. This factual data does not make a difference to the anticipation for every individual patient: extra data is expected to decide if a patient has a place with the 40% who will die, or to the 60% who will survive.
Answer:
a. Is JV a variable interest entity (VIE)?
Yes, JV should be considered a variable interest entity. Basically both AutoCo and ElectricCo share JV's board, but ElectricCo didn't have the money to start a company or even be part of a joint venture. ElectricCo's equity is financed by AutoCo, so ElectricCo has basically no no equity at risk. Even the debt acquired by JV is backed by AutoCo, but AutoCo does not control JV on its own.
Basically ElectricCo's contribution is technology, and AutoCo provides everything else, but both control the company with one side (ElectricCo) not having enough money to invest but doing so through financing.
b. Which entity, if any, should consolidate JV?
AutoCo must include JV in its consolidated balance sheet since it owns 60% of the company and the products manufactured by JV are sold under AutoCo's brand.
Hello !
Answer:
The union and management agreement that allows non-union people to be hired but requires that they join the union after a probationary period creates the <u>union</u> shop.
Answer:
The correct answer is letter "B": Explain to Aurora that she must report all her business income and expenses.
Explanation:
The Internal Revenue Service (IRS) offers tax credits to taxpayers in different situations to benefit them with discounts and promote the proper filing of their yearly income. In front of a possibility on a tax credit for Earned Income, the taxpayer must <em>include all the information on revenues and expenses incurred during the period</em>. This typically applies to self-employed taxpayers.
