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3 years ago

Before buying an existing business, you need to identify if the business’s problems can be fixed? true or false

Business

2 answers:

Sophie [7]3 years ago

7 0

Before buying an existing business, you need to identify if the business’s problems can be fixed. True.

Before buying an existing business or starting a business in general, there needs to be identification of problems that may arise. When looking into purchasing an existing business, going over how the business has done thus far and any problems it has occured and then overcome, is important. There are issues that can always happen but being as prepared as possible, is crucial.

Alex73 [517]3 years ago

6 0

True, you need to know the risk of buying an established business.

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2 years ago

Read 2 more answers

In February 2017 the risk-free rate was 4.97 percent, the market risk premium was 7 percent, and the beta for Twitter stock was

Gnesinka [82]

Answer:

14.77%

Explanation:

In this question, we apply the Capital Asset Pricing Model (CAPM) formula which is shown below

Expected rate of return = Risk-free rate of return + Beta × (Market rate of return - Risk-free rate of return)

= 4.97% + 1.40 × 7%

= 4.97% + 9.8%

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The (Market rate of return - Risk-free rate of return) is also called market risk premium and the same is shown in the answer

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2 years ago

A company's balance sheet shows: cash $28,000, accounts receivable $34,000, equipment $58,000, and equity $76,000. what is the a

fredd [130]

The amount of liabilities is $196,000

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3 years ago

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Universal Travel Inc borrowed $500,000 on November 1, 2018 and signed a twelve month note bearing interest at 6% Principal and i

horrorfan [7]

Answer:

Interest will be $5000

So option (A) will be correct option

Explanation:

We have given principal amount P = $500000

Rate of interest = 6 %

Time is November 1 to December 31

So time = 2 months = 0.1666 year

Interest is given by

Interest $=\frac{principal\ amount\times rate\times time}{100}=\frac{500000\times 6\times 0.1666}{100}=$5000$

So option (a) will be correct option

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2 years ago

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2 years ago