Answer:
Changes the ownership structure of a company from public to private.
Explanation:
A leveraged buyout (LBO) is the acquisition of another company using a significant amount of borrowed money to meet the cost of acquisition. The assets of the company being acquired are often used as collateral for the loans, along with the assets of the acquiring company.
It is known to change the ownership structure of a company from public to private.
This is because it isn't usually sanctioned by the target company. It is also seen as ironic in that a company's success, in terms of assets on the balance sheet, can be used against it as collateral by a hostile company.
Answer:
$443,091.5
Explanation:
Given that,
Amount of loan, present value = $185,000
Annual rate of interest, r = 7% ÷ 12
= 0.00583
Time period = 30 years
Therefore,
Monthly payments:
![=\frac{r\times PV}{[1 - (1+r)^{-n}]}](https://tex.z-dn.net/?f=%3D%5Cfrac%7Br%5Ctimes%20PV%7D%7B%5B1%20-%20%281%2Br%29%5E%7B-n%7D%5D%7D)
![=\frac{0.00583\times 185,000}{[1 - (1+0.00583)^{-30\times12}]}](https://tex.z-dn.net/?f=%3D%5Cfrac%7B0.00583%5Ctimes%20185%2C000%7D%7B%5B1%20-%20%281%2B0.00583%29%5E%7B-30%5Ctimes12%7D%5D%7D)
![=\frac{1,078.55}{[1 - (1.00583)^{-360}]}](https://tex.z-dn.net/?f=%3D%5Cfrac%7B1%2C078.55%7D%7B%5B1%20-%20%281.00583%29%5E%7B-360%7D%5D%7D)
= 1230.81
Total (principle and interest) will be paid over the life:
= Monthly payments × 360
= $1,230.81 × 360
= $443,091.5
Answer 4:
Following are the six business management perspective:
- Ethical Stance
- Strategic aspects of the decision
- Risk Management
- CSR Aspect
- Process Management Aspects
- Leaders Perspective
Answer 5:
IMA stands for Institute for Management Accountants.
The IMA Statement of Ethical Professional Practice has listed following four standards for the professionals who are member of IMA to comply with:
- Competence: The member must be competent in his role in accordance to his experience, skills, knowledge, complying laws & regulation and always acting ethically.
- Confidentiality: Must not breach the confidentiality implied duty on him except in situations when disclosure of information is mandatory by law.
- Integrity: Must be straight forward and there must be no self interest in his dealings with the company and must considerably reduced.
- Credibility: Communicate the results with unbiased decision making.
Answer 6:
Because freedom does not means that our self interest is everything. We owe duty of care to people who rely on our acts. An accountant, auditor or internal auditor must act ethically or universally that benefits everyone without breaking the laws and ethical duties imposed by the professional bodies. If we go back to Enron case, we see that the External auditor was not acting in the public interest and as a result Enron which was the world's first $100 billion dollars company collapsed. The collapse of Enron bankrupt many pension companies which further affected the lives of the ordinary person in the USA. Furthermore, due to collapse of Enron, a lot of people withdraw the amount invested in Stock exchange. Dozens of companies and millions of people suffered from this unethical behaviour of professionals.
Answer 7:
Corporate Social Responsibility means that the company is just like an human being and its operations must not harm the environment, so this the least duty which the stakeholders expect from them. Being a good social beings, the companies must try to stable the environment situation in its surrounding and wherever its stakeholders live. For Example, The refinery companies have stopped poluting the oceans with their oil spills, now they have opted to newest technology that will eliminate the harmful effects of their oil spills and bring stability in the environment.
Another example includes the lower usage of natural resources. In UK it is the companies responsibility to reduce its natural resources usage which will lower the pollution. This additional care has a cost and may lead to lower competitiveness of the products so there must be a law globally that enforces to act socially responsible.
The answer to this question is that it is an example of
regulatory capture.
<span>Regulatory capture is a situation where in the interest of
the business or firm is being prioritized by the firm in order for them to
advance and succeed. There are two types of regulatory capture; a materialistic
capture and non-materialistic capture.</span>
