Answer: A. they have expertise in a focused technical topic
Explanation:
Answer:
John should opt for the 30 annual end-of-the-year payments of $4 million as that gives the highest present of value of $49,636,164.73 as shown below.
Explanation:
The options are evaluated as follows:
Option 1 $46,000,0000 today
Option 2
The present of value of this option is calculated using the below formula:
Present value of annuity = ((1-(1/((1+i)^n))/i) X PMT
where i=rate=7%
n=10years
PMT=$7m
PV=((1-(1/((1+0.07)^10))/0.07) X 7000000
PV=$ 43,834,929.21
Option 3
The present value of this option using the formula in option 2 is:
PV=((1-(1/((1+0.07)^30))/0.07) X 4000000
PV=$49,636,164.73
Hence, the last option is preferable.
B will be the most efficient while keeping everyone happy
Answer:
corporation
with a corporation, he would have larger assess to funds needed to grow his business
Explanation:
A publicly owned corporation is a company is a company owned by shareholders. This type of company's shares is freely traded on a stock exchange
Characteristics of A publicly owned corporation
• Limited liability. the liability of owners are limited to the amount invested
• Central management. The company is manged by board of directors and managers and not the shareholders
• the company is a legal entity.
The answer to this is A ..Hope i helped
