Answer:
When you form an LLC, you establish a new business entity that's legally separate from its owners. This separation provides what is called limited liability protection. As a general rule, if the LLC can't pay its debts, the LLC's creditors can go after the LLC's bank account and other assets.Sep 4, 2020
Answer:
The Beta is 1
The required return increases to 13%
Explanation:
The formula for required return is given below:
Required Return = Risk-Free Rate of Return + β(Market Return – Risk-Free Rate of Return)
required return is 11%
risk-free rate of return=7%
Beta is unknown
market return-risk free rate of return is market risk premium is 4%
11%=7%+beta(4%)
11%-7%=beta*4%
4%=beta*4%
beta=4%/4%
beta=1
If the market risk premium increased to 6%,required return is calculated thus:
required return=7%+1(6%)
required return =13%
This implies that the riskier the stock, the higher the market risk premium, the higher the required return to investors.
Answer: This loan would would have priority over the other unsecured claims in this bankruptcy case.
Explanation:
Since the trucks are secured collateral the loan is a secure loan. It will be the priority in the bankruptcy case since the other claims were unsecured. The law firm would have a right to the trucks since he owed them 20,000$ and put them up as collateral.
Everything that was an unsecured loan does not have anything to take from and will be a loss for the other companies who filed against Henry Anderson.
Answer:
When any company wants to sale their product without prior knowledge of the market then it's a disaster.
First thing Jack can do is "Test Marketing". If any company has no knowledge of market then fastest way to know your market is test marketing. Jack must put his sweaters in small quantity for sale at different locations. Test marketing needs to be done for whole week. Jack needs to collect the feedback from its customers too. Feedback is the way jack can know the market. Without knowing the market and customers, it's really hard to market or sale your product. Feedback from test marketing activity will actually give him market knowledge and customer's feedback.
