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cluponka [151]
3 years ago
8

An acquisition premium is the amount by which the price offered for an existing business exceeds the Select one: a. amount paid

as a down payment to be held in escrow until closing. b. difference between the amount that was offered and the amount that is escrowed c. comparable value of similar companies within the same market. d. preacquisition market value of the target company e. fair market value of similar companies in the same geographic locale.
Business
1 answer:
MAVERICK [17]3 years ago
8 0

Answer:

d. pre-acquisition market value of the target company.

Explanation:

An acquisition premium is the amount by which the price offered for an existing business exceeds the pre-acquisition market value of the target company.

An acquisition premium gives the difference between the actual amount of money paid in acquiring a target firm and the estimated real value of obtaining the firm before the acquisition.

Acquisition premium are usually recorded on the balance sheet as "goodwill."

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A study has been conducted to determine if Product A should be dropped. Sales of the product total $224,000 per year; variable e
jek_recluse [69]

Answer: Decrease by $11,200 per year.

Explanation:

First let's calculate the income if the product is not dropped.

Calculting income would be,

= Sales - Variable Costs - Fixed Costs

= 224,000 - 156,800 - 100,800

= -$33,600

Income(loss) would be a ($33,600) if the product is kept.

If the product is discontinued, it is given that $44,800 in fixed costs will still continue.

These fixed costs cannot be covered in part by the Sales because the product will be discontinued. So that means the net operating Income would simply be a $44,800 loss.

The difference between these 2 options is therefore,

= 44,800 - 33,600

= $11,200

This means that if Product A is stopped, the net operating income will decrease by a further $11,200 because there is no revenue to cover the fixed assets in part. The last option is correct.

7 0
3 years ago
If the government decides to adopt a carbon tax, the price of goods whose production generates carbon emissions will __________
Lunna [17]

Answer:

The correct answer is letter "C": increase; remain unchanged.

Explanation:

Externalities are the effect by which third parties are affected by the actions of others even if the third party does not have to do with operation s of the entity causing the harm. The typical example of an externality is related to companies' pollution. Governments are more than likely to impose taxes on such organizations. Not to affect their profits and to keep their production at the same level, those companies raise the price of their products affecting the consumer eventually.  

Then, <em>imposing levies on carbon will rise the price of carbon goods keeping the quantity produced at the same rate.</em>

3 0
2 years ago
Henncom, a company that manufactures computer spare parts, runs its operations in a small office. Owing to the increase in the d
Leno4ka [110]

Answer:

Carl is most likely satisficing

Explanation:

For decision making, satisficing means "Examining alternatives until a practical (most obvious, attainable, and reasonable) solution with adequate level of acceptability is found, and stopping the search there instead of looking for the best-possible (optimum) solution."

Reference: WebFinance Inc. “What Is Satisficing? Definition and Meaning.” BusinessDictionary.com, 2019

8 0
2 years ago
Mike interviewed Dan for a sales clerk position, and Mike really liked Dan. They got along great in the interview, and they are
monitta

Answer:

c. Seeing what you want to see

Explanation:

8 0
2 years ago
Briefly explain the term market economy​
Alchen [17]

Answer:

a market economy is a system where the laws of supply and demand direct the production of goods and services

6 0
2 years ago
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