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2 years ago

What do you mean by parent and host company?

Business

2 answers:

Anna11 [10]2 years ago

8 0

Answer:

What is meant by parent company?

A parent company is a single company that has a controlling interest in another company or companies. Parent companies are formed when they spin-off or carve out subsidiaries, or through an acquisition or merger.

Explanation:

What Is a Parent Company?

A parent company is a company that has a controlling interest in another company, giving it control of its operations

AlexFokin [52]2 years ago

5 0

Answer:

A parent company is a company that has a controlling interest in another company, giving it control of its operations. Parent companies can be either hands-on or hands-off owners of its subsidiaries, depending on the amount of managerial control given to subsidiary managers, but will always maintain a certain level of active control.

Explanation:

A parent company is a single company that has a controlling interest in another company or companies.

Parent companies are formed when they spin-off or carve out subsidiaries, or through an acquisition or merger.

Parent companies must account for their subsidiaries appropriately on their financial statements and for tax purposes.

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An airport needs a modern material handling system for facilitating access to and from a busy maintenance hangar. A second-hand

Arlecino [84]

Answer:

The second hand machine should be chosen given that the NPV value is lower than that of the new system

Explanation:

cost of second hand system = $75,000

cost of new system = $150,000

New system can decrease labor hours by 20%

number of useful life ( for both systems ) = 5 years

market value of second hand system after 5 years = $20,000

market value of new system after 5 years = $50,000

Second hand system can operate for 8 hours/day for 20 days = 8*20 = 160 hours per month = 1920 hours per year

labor cost = $40 per hour

MARR = 1% per month

Determine the system that should be recommended

we have to calculate the NPV for both options

for Option 1 ( second hand system )

labor cost = 40 * 1920 = $76800

cost of purchase = $75,000

MARR = 12% p.a.

residual value = $20000

First step : calculate the PV of maintenance cost = $76800× PVAF(12%, 5 years) = $276864

Next : calculate the PV of residual value =$20000× PVF(12%, 5th year)

= $11340

NPV = (75000 + 276864 - 11340 ) = $340,524

for Option 2 ( New Machine )

Labor cost = ( 1920 × 0.8 )hours ×40 = $61440

cost of machine = $150000

Pv of labor cost = 61440×3.605 = $221491.20

Residual value = $50,000

Hence ; PV of residual value = 50000 × 0.567 = $28350

Finally calculate the NPV = (150000+221491.20-28350) = $343,141.20

7 0

3 years ago

The market demand curve for a normal good will shift to the left (decrease) when the price of a substitute good ▼ increases de

suter [353]

1. decreases
2. increases3. decreases
4. decreases
The answers here require you to understand the terms involved. So let's look at the options and see what is what.
1. The price of a substitute good â–Ľ increases decreasesâ€‹
* A substitute good is some good that can be used as a substitute for another good. So if that substitute becomes cheaper, it will be used more as a substitute for the original good. So the answer is "decreases"
2. The price of a complementary good â–Ľ decreases increasesâ€‹,
* A complementary good is a good that's used in conjunction with another good. Something like milk and cookies. As more cookies are consumed, more milk is desired to go along with the cookies. So increasing the price of the complementary good will decrease the demand of the other good. So the answer is "increases"
3. Consumer income â–Ľ increases decreases
* If the consumer has less money to spend, then spending on non-essential goods will decrease. So the answer is "decreases".
4. Population â–Ľ decreases increases
* A smaller population is a reduced consumer base, so fewer goods are purchased. The answer is "decreases"

7 0

3 years ago

A multimillion-dollar u.s. project to construct a suspension bridge is in progress. true structures inc. in canada shares both p

umka21 [38]

Answer: Joint Venture

A Joint Venture is a business entity that is created when two or more corporations pool in their resources for a specific project.

The corporations that are a part of the Joint Venture share the governance, risks and rewards of the joint venture.

In a Joint venture the corporations who come together to form a joint venture retain their distinct entities.

7 0

2 years ago

Presented below is selected financial information for Cullumber Company for December 31, 2022. Inventory $ 25,000 Cash paid to p

Vitek1552 [10]

Answer:

Explanation:

Basically there are three types of activities:

1. Operating activities: It includes those transactions which affect the working capital, and it records transactions of cash receipts and cash payments.

2. Investing activities: It records those activities which include purchase and sale of the fixed assets

3. Financing activities: It records those activities which affect the long term liability and shareholder equity balance.

According to these above explanations

(A) Operating activities: Cash paid to suppliers 103,600 and Cash received from customers 132,100

(B) Investing activities: Cash paid to purchase equipment $ 11,000

Now the preparation of the cash flow statement is shown below:

Cash flow from operating activities:

Cash received from customers $132,100

Less: cash paid to suppliers -$103,600

Net cash flow from operating activities (A) $28,500

Cash flow from investing activities:

Cash paid to purchase equipment -$ 11,000

Net cash flow from investing activities (B) -$11,000

Cash flow from financing activities:

Cash received from issuing common stock $21,400

Less: Cash dividends paid -$6,100

Net cash flow from financing activities (C) $15,300

Net cash increase (A+B+C) $32,800

Add: Beginning cash balance $7,500

Ending cash balance $40,300

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3 years ago

Is sears going out of business

Sphinxa [80]

It wasn't fully announce that Sears is going out of business but rather, they are just going to close 150 of its branches this year 2017. This is according to Business insider. Most of the stores will start liquidation sales on Jan. 5 and will go out of business in March and April. Hope this helps.

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3 years ago

What do you mean by parent and host company?​

What do you mean by parent and host company?