exerting financial discipline and more efficient corporate strategy changes. Before evaluating whether $1b is value enhancing in quantitative measure‚ ability to cope with pre-requisite interest payment and potentially dividend payment (possibly dividend growth maintenance) should be considered. Required debt rate and pro forma income statement Risk determinants Credit rating agencies take a wide range of factors – debt raising purpose‚ industry outlook‚ corporate profile and financial measures
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Case Write-Up: The Investment Detective Case Summary The purpose of this case is to become a capital budgeting analyst and evaluate which set of free cash flows for 8 projects will result in the most effective investment for a firm’s capital. The objective given is to rank the four best that the company should accept. The case is broken down into three separate steps including the given information about estimated cash flows (inflows & outflows)‚ determining the appropriate discount rate‚ and evaluating
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Question 42 Harry’s basis of the land is $300‚000. And Harry has a dividend of $180‚000(300‚000-120‚000) because of the liability. The dividend should be taxable for Harry. After dividend distribution‚ Lime Corporation would have a $230‚000 on E&P‚ since Harry needs to assume the liability of the land. (350‚000- 120‚000). Question 47 Jacob’s basis of the stock was $24‚000. Since he received a stock dividend of additional 2‚000 shares‚ Jacob held 12‚000 (10‚000+2‚000) shares in total. Therefore
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value in sequel rights‚ how they will be able to make money off of these investments in the rights‚ or understand why studios would be willing to sell them. Then‚ we will address the timing of the offers and why it is so important‚ especially in this case. Next‚ we will look at the “fair” value for these films using two different approaches. The first approach is the net present value of the entire set of 99 films for 1990. We will look at three different sets of assumptions with the net present value
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History of Detective Fiction When I came to your class I had little knowledge of what detective fiction was‚ I knew it dealt with mystery‚ but never knew the real meaning of it. Thanks to you and your assignment‚ now I know. According to Wikipedia.org detective fiction is‚ "A branch of crime fiction that centers upon the investigation of a crime‚ usually by murder‚ by a detective‚ either professional or amateur". It is closely related to mystery fiction‚ but it is more of puzzle that must be
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The Ladies Detective Agency- by Alexander McCall Smith Alexander McCall Smith was born in Zimbabwe 1948. Smith’s first year as a student was in Botswana but then moved to Scotland and was educated at law school. Today he is professor in Medical Law and writer to several world-famous novels‚ including the series about Mma Ramotswe. Smith has been teaching at universities in several African countries‚ including Botswana‚ where he has lived for some time. The Ladies Detective Agency is the first
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The detective agency has been around in the United States since 1850 thanks to Allan Pinkerton. Eleven years later‚ Zebulon Brockway created the first parole system. The world’s finger classification system was used in 1892‚ by Juan Vucetich while working for the Central Police Department in La Plata‚ Argentina. He first used it to identify a bloody fingerprint from a double homicide of children. Then in 1908‚ Lola G. Baldwin was hired as the first woman police officer. Also in 1908‚ Charles Bonaparte
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ABRAMS COMAPANY CASE 5-4 ABRAMS COMPANY Que. 1: Evaluate each of the concerns expressed by top management‚ and if necessary‚ make recommendation appropriate to the circumtences described in the case The Abrams case is about using profitability measures to evaluate profit centers. The case also reflects a long academic debate in the US-literature about ROI problems. In EU companies it is more common to evaluate PCs with Income measures like RI and EVA. This case covers the tree main problems
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Case 15 Version 2.1 Teletech Corporation‚ 1996 Teaching Note Synopsis and Objectives In January 1996‚ the chief financial officer of this telecommunications company must fashion a response to a raider who claims that a major business segment of this company should be sold because it is not earning a satisfactory rate of return. The case recounts the debate within the company over the use of a single hurdle rate to evaluate all segments of the company versus a riskadjusted hurdle-rate
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ASSIGNMENT 2: PRADA Refer to the HBS case "Prada: To IPO or Not to IPO" and answer the questions below. Note: Complete the related textbook chapters (RWJJ Chapters 14‚ 15 & 19) before attempting this case. WHAT IS THE PROBLEM SAID TO BE FACING PRADA? Prada got some financial trouble. First‚ Prada failed for several times to IPO due to various reasons like SARS‚ financial crisis‚ etc. Second‚ because of the long-term debt maturing in one year‚ Prada needed to raise more than 1 billion euros
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