<u>Options:</u>
<u> For starters, Mike</u>
<u>A. needs to understand that it's difficult to buy an existing business, rather than start your own. The key will be to meet with the company's accountant, and explain your interest. The accountant will have all the answers.</u>
<u>B. will want to determine the assessed value of the acreage that the business owns, and then bid competitively.</u>
<u>C. should speak with the current owner and determine the total value of assets (what the business owns), its earning potential, and its unique advantage.</u>
<u>D. needs to find a government database that outlines what nursery businesses are worth, on average, across the country.</u>
<u>Answer:</u>
<u>C. should speak with the current owner and determine the total value of assets (what the business owns), its earning potential, and its unique advantage.</u>
<u>Explanation:</u>
It is somewhat inaccurate to say "it's difficult to buy an existing business", because there are several advantages of doing , such as already established market etc.
Mike's speaking to the current owner not the company's accountant may provide more information than what is known by the company accountant.
Having proper knowledge about the earning potentials and unique advantages of the company would enable Mike know what the business he is about to venture into is really worth.
