Answer: B. C) company begins to encounter diminishing growth prospects in its mainstay business.
Explanation:
All Companies should endeavour for Growth. Growth means survival in this world and a company that is not growing will eventually die out.
If a Company begins to experience a situation where the prospects for growth in their chosen industry is reducing, they should, in the interest of their survival, seek alternative business that they can engage in. Look at Oil Companies like Shell for instance, they realize that Fossil Fuels will not last forever and have started investing massively in Clean Energy because they can see that Growth Prospects in Oil are starting to diminish.
Answer:
The answer is B. $555,000
Explanation:
Please note that the student meant $300,000 for non-current liability and not $350,000
Stockholder's equity = total asset - total Liability
Total asset = current asset + fixed asset
= $250,000 + $800,000
= $1,050,000
Total liability = current Liability + non-current liabilities
= $195,000 + $300,000
= $495,000
Therefore, shareholder's equity is
$1,050,000 - $495,000
$555,000
Answer:
$40.79 per share and $52.90 per share
Explanation:
Cost of Debt (Kd) = Wd * Rd (1 - T)
Cost of Debt for Vandell Corporation is $7.30 * (1 - 0.40) = 4.38%
Cost of Equity (Ke) = Rf + 
* Rp
Cost of Equity for Vandell Corporation is 6 + 1.10 * 7 = 13.70%
Weighted Average Cost of Capital (WACC) = Wd * Kd + We * Ke
Cash Flow of Firm = $2.5m + $3.2m + $3.5m + $3.57m = $12.77
Weight of Equity = $8.94
WACC = 30% * 4.38% + 70% * 13.70% = 10.9%
CashFlows after discounting synergy will be = $40.79
This is false because RECONCILE doesn’t compare your records.
The remedy to recover. While Blue Rorschach did eventually get the needed laptops, they had to pay more when they went to Dell and so they could have the remedy of recovering the difference in the amount they were forced to pay due to the breach and the amount they expected to pay to Zenzo.
