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hichkok12 [17]
3 years ago
9

Based on its growth prospects, a private investor values a local bakery at $750,000. She believes that cost savings having a pre

sent value of $50,000 can be achieved by changing staffing levels and store hours. Based on recent empirical studies, she believes the appropriate liquidity discount is 20 percent. A recent transaction in the same city required the buyer to pay a 5 percent premium to the asking price to gain a controlling interest in a similar business. What is the most she should be willing to pay for a 50.1 percent stake in the bakery
Business
1 answer:
julia-pushkina [17]3 years ago
8 0

Answer:

the maximum that paid to acquire bakery is $336,672.

Explanation:

The computation is shown below;

= (Value of local bakery + Present value of cost savings) × (1 - discount) × ( 1 + premium) × willing stake of bakery

= ($750,000 + $50,000) × (1 - 0.20) ×  (1 + 0.05) × 0.501

= $336,672

Therefore, the maximum that paid to acquire bakery is $336,672.

We simply applied the above formula

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. Which of the following businesses attract customers due to their ease of accessibility?
aivan3 [116]

Answer:

C. Internet.

Explanation:

An ease of accessibility can be defined as the characteristic of a business which makes it readily available for use at different locations at a particular period of time. Thus, the business is free from all form of difficulties in being accessed or reachable by customers.

This ultimately implies that, ease of accessibility is a characteristic which makes a business responsive to customer requests at any time.

Hence, the business which attract customers due to its ease of accessibility is an internet because everyone around the world is able to use or access the internet at any time, provided they have a network connection and a compatible device such as a smartphone, computer, tablet etc.

8 0
3 years ago
Lattimer Company had the following results of operations for the past year: Sales (15,000 units at $12.15) $ 182,250 Variable ma
Gnesinka [82]

Answer:

Profit (loss) 4611

Explanation:

Variable manufacturing cost per unit = Total variable manufacturing cost / Total number of units = 99750 / 15000 = 6.65.

Calculation of special order :

Sales (5300 * 7.80) = 41.340  

(-) Variable manufacturing costs ( 5.300 * 6.65 ) = 35.245  

(-) Export fees ( 5300 * 0.28) = 1.484  

Profit (loss) 4.611

8 0
4 years ago
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A firm with no debt in its capital structure is Blank______. Multiple choice question. stratified unlevered unstable levered
Temka [501]

The correct answer of a firm with no debt in its capital structure is an unlevered firm.

Unlevered firm-

An unlevered organization is a business enterprise without a debt, and is called unlevered as it would not have monetary leverage. Financial leverage is created while a business enterprise makes use of borrowing, typically from lenders, or from investors, via means of issuing debt through bonds or desired stock. It is likewise known as an all-equity organization.

The value of an unlevered organization continually has a tendency to be lower than a levered organization because of the advantage of a tax shield. A firm that has debt in its capital structure is a levered organization.

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2 years ago
Leila and bradford enter into a contract in which bradford will pay leila to mow his lawn and leila will mow the lawn weekly. le
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Leila's action is an example of delegation. Delegation is being defined as a responsibility by which it is being assigned to another person by means of having to carry out a specific duty. This is considered to be a core concept in regards to the management leadership.
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3 years ago
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Hunter-Best [27]

Drawing district boundaries to deliberately benefit a candidate or party is an example of Gerrymandering.

Gerrymandering is the practice of drawing electoral district boundaries in a way that gives one political party an unfair advantage over its rivals (political or partisan gerrymandering) or dilutes the voting power of members of ethnic or linguistic minority groups in the United States (racial gerrymandering). A fundamental objection to gerrymandering in general is that it tends to violate two tenets of electoral apportionment: compactness and equality of constituency size.

Gerrymandering can be used to protect incumbents as well. According to Wayne Dawkins, politicians choose their voters rather than voters choosing their politicians. Gerrymandering has a negative connotation, and it is almost always regarded as a corruption of the democratic process.

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