When is it wise for a business to acquire investment properties instead of expanding operations by acquiring more PPE

Q: Why do businesses decide to acquire other businesses? How do they decide to divest parts of their…

A: There are several reason behind in the decision to acquire other business.  The top most reason…

Q: Given the current scenario COVID 19 and its impact on Cement sector in the near future, what are the…

A:

Q: Is it feasible for a new company endeavor to be lucrative while also experiencing financial…

A: Introduction: According to Entrepreneur, it takes a minimum of three years for a company to become…

Q: In which of the following ways can you not take money out of your company? Selling the company to…

A: Ques 23 - Ways you cannot take money out of your company: Selling the company to employees is done…

Q: An investor wants to determine if his investment in Bulldogs Inc. gives him a good return. Which of…

A: Investing is a critical component of wealth growth. It enables the investor to fight inflation,…

Q: Explain when diversification is an effective business strategy.

A: Diversification, simply, means to increase profit by higher sales through a new variety of products…

Q: o successful investment companies remain in the top leading compa

A: To be top leading require some hard work and continuous improvement and innovation from the…

Q: Assume that an investor plan to invest in SONY company and after investigation the investor finds…

A: Overvaluation of stock refers to the excess of the current market price as compared to the…

Q: Explain how acquiring a firm with past losses can be beneficial.

A: The acquisition is a strategic move that a business entity adopts with the aim to acquire the…

Q: New entrants are attracted when the organizations’ profits are well in excess of the cost of…

A: In today's world of finance and commerce barriers to entry is a very strong force that determines…

Q: What do we mean by the optimal capital structure for a company

A: The answer is stated below:               Note: Answering the first question as there are multiple…

Q: The capital investment is one that Select one: a. applies only to investment in fixed assets b. is…

A: Capital investment means having enough money to fund a company's operations. It is an investment to…

Q: From a financial management perspective, when would it make sense to (a) invest in additional…

A: The company's aim will be to increase the profitability of the company. The profits can be arrived…

Q: A firm is considering the purchase of assets that will increase its fixed operating costs. The firm…

A: Degree of combined leverage = Contribution / Earnings before tax

Q: hat is preferable from the point of view of an investor? a. To value the business using the Asset…

A: An investor's share is represented via equity in a company, while total assets are represent as both…

Q: Which of the statement is FALSE in financial decision making?      A. Large size of business needs a…

A: Under financial decision making, requirement of funds is an absolute necessity for any firm. Larger…

Q: (a) Explain what the companies should đo with their proits, onditional to the vailability of absence…

A: in order to run the business that the need of profit. the profit is owned by the business through…

Q: Diversifying is one of tactics use to generally build shareholder value, preferably over a long…

A: Shareholder value is the value and wealth that is given to the equity owners of the corporation that…

Q: B)      Analyze why, despite employing various investment appraisal techniques, large investment…

A: Capital budgeting- refers to the formal process used for evaluating potential expenditures or…

Q: Is it feasible for a new company endeavor to be lucrative while still experiencing financial…

A: Meaning of Lucrative Lucrative which simply describes as brings profitability into the business…

Q: Which of the following is consistent with an increase in a firm's return on investment?   a. an…

A: Return on Investment is the financial ratio that is used to evaluate the profitability or efficiency…

Q: Cash flow methodology should distinguish between a new capital-intensive business and a more mature…

A: According to the cash flow methodology must distinguish between the cash flow in new capital…

Q: hat is preferable at the point of view of an investor? To value the business using the Asset…

A: Investor' share in business is represented as a part of equity while total assets represent share of…

Q: A positive value for EFN means that the company needs to? A) Sale items B) close the company c)…

A: Value of EFN means how much external funds are needed for business operations, because internally…

Q: Explain what the companies should do with their profits, conditional to the availability or absence…

A: Profit is the remaining sales after the company has recorded all expenses and is also called income.…

Q: An investor wants to determine if his investment in Bulldogs Inc. gives him a good return. Which of…

A: Total assets turnover is a measure with the help of this effectiveness of the company's assets can…

Q: Which is often the third step in a new business? Multiple Choice   Investing   Financing…

A: A cash flow statement, sometimes known as a "statement of cash flows," is one of the three most…

Q: at an investor plan to invest in SONY company and after investigation the investor finds that the…

A: The stock of SONY company is currently over-valued which means share trades at a higher value than…

Q: Question A18 Which of the following is not an advantage of the NPV investment appraisal technique…

A: NPV is net present value method which uses present value of cash inflows and cash outflows. ARR…

Q: A firm is about to double its assets to serve its rapidly growing market. It must choose between a…

A: In capital budgeting decision, the company needs to assess the effect of their investment on the…

Q: John only investment is in a unit trust. John strongly believes that he will have better returns by…

A: Special purpose acquisition companies or SPACs  are basically   shell companies i.e., a companies…

Q: Can the retiring strategy of a firm jeopardize its profitability? Explain and provide examples of…

A: Retirement planning doesn’t mean one must most effective give attention to their finances.…

Q: Create a unique hypothetical weighted average cost of capital (WACC) and rate of return. Recommend…

A: Weighted Average Cost of Capital (WACC) is the rate at which the company is willing to pay to its…

Q: Because the cost of buying higher market share through acquisition may far exceed its revenue value,…

A: when a company buys a higher market share through acquisition there are a number of risk that a…

Q: Efficiency in adding value to an asset that is less valued is key to creating wealth. In what…

A: Wealth refers to the measure which determine the value of all the assets which is owned through the…

Q: Which form of business ownership is best for a start-up coming?

A: Any activity that generates profits by selling goods or services to the customers (and earning…

Q: 1. The following statements are correct for the Economic Value Added (EVA), except, A. The most…

A: As per our protocol we provide solution to only one question. Kindly resubmit the remaining…

Q: True (t) or False (f) _____ A reason some companies purchase investments is because they generate a…

A: The incentive to maximize income by an investment stake in another corporation is one of several…