Answer:
1a. For manufacturing company– Buying a local manufacturing company
b. For a financial services company– Partnership
c. A company like Coke or Pepsi– Greenfield Investments
Explanation:
1a. Buying a local company saves valuable resources for the foreign manufacturing, and it allows for quick market knowledge since this company has already been in operations for a long time.
b. A partnership would be best for a financial services company, this would involve a smooth transition into new markets without having to spend much on physical structures as the domestic company is already having necessary infrastructures in place.
c. Coke and Pepsi would preferably choose to use the Greenfield investment strategy by building a new plant from the ground up because of its established quality standards as well as trade mark and intellectual property protection.
2. A technology-centric firm would benefit most by buying a Company because of the already available market share as well as benefiting from reduced government regulations.
3. If one is operating a start-up or smaller firm of course cost would be a major consideration, therefore selling out License to foreign companies may be effective. This would transfer the rights to use a product or service in a different market geography.
4. It provides a good foresight into the requirements needed to enter foreign markets.
Answer:
$6,989.25
Explanation:
The Lexington Property Development shall calculate the today's worth of note receivable, which is due in three years, using the following mentioned formula:
F=P(1+i)^n
F=Value of note receivable after three years=$10,000
P=Value of note receivable today=?
i=interest rate compounded monthly=12%/12=1%
n=Due period of note receivable=3*12=36 months
F=P(1+i)^n
$10,000=P(1+1%)^36
P=10,000/(1+1%)^36=$6,989.25
Answer:
(A) +6,307.69
(B)
equipment 243,000
less accumulated depreciation 18,692.31
<em>equipment (net) 224,307.69</em>
Explanation:
As it is operating we do not solve for right of use nor lease receivables.
(A)
lease payment 25,000
depreciation expense on the equipment:
243,000 divided among 13 years of useful life = 18,692.31
net effect: 6,307.69
(B)
Again, as this is an operating lease we do not recognize lease receivables and we do not solve usign interest rate we depreciate the asset over time and nothing else.
equipment 243,000
less accumulated depreciation 18,692.31
equipment (net) 224,307.69
Answer:
Indicate whether each of the following statements is true or false. Statement True False
1. True
2. False, the gains from specialization and trade are based on comparative advantages.
3. False, sometimes countries need to trade or are forced to trade, and that doesn't always result in both benefiting from trade or everyone in the country benefiting from trade.
4. True, as long as they have different opportunity costs in the production of some goods.
5. False, workers that are employed in importing companies will favor trade since their whole business is based on trade.
Explanation:
Answer:
Her monthly take home amount is $2750. she is not in danger of credit overload as her total debt obligation per month is only $505 which is only 19% of her overall take home
Explanation:
Sarah's annual take home is $ 33,000 , If we divide it by 12 months so her monthly take home amount will be $2750, Her monthly debt obligation are $395 for Car & $110 Credit card payment which sums to $505. so will still have $2245 every month after paying debt obligation.