Preview

Fin515 Week 1 Homework

Better Essays
Open Document
Open Document
1441 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Fin515 Week 1 Homework
10 July 2012
Managerial Finance FIN515
Professor David Felsberg

DellaTorre Mini Case
Corporate finance is important to all managers regardless of the industry they are in due to the fact that it deals with the strategic financial issues associated with achieving goals such as how the corporations should raise and manage its capital , what investments the firm should make, what portion of profits should be returned to shareholders in the form of dividends, and whether it makes sense to make further investments such as merging with or acquiring another company.
Companies are fall into one of three categories; a proprietorship or sole proprietorship is a business owned by one individual. A partnership exists when two or more persons associate to conduct a business. In contrast, a corporation is a legal entity created by a state. In our current economic system corporation share some of the same benefits as individuals; although Sarbanes Oxley law has made some significant changes, corporations are still viewed as separate and distinct from its owners and managers. In a limited partnership, limited partners’ liabilities, investment returns and control are limited, while general partners have unlimited liability company (LLC), combines the limited liability advantage of a corporation with tax advantage of a corporation with tax advantages of a partnership. A professional corporation (PC), known is some states as a professional association (PA), has most of the benefits of incorporation but the participants are not relieved of professional (malpractice) liability.
Corporations have a couple of different options when they opt to go public. The most commonly utilized method of taking a corporation public is an Initial Public Offering (IPO). It involves registering your stock with the Securities and Exchange Commission in order to sell your shares to the general public. Small Corporate Offering Registration is a more economical and simpler alternative to



References: Historical Gas Prices, Retrieved on March 9,2012 from , Retrieved from www.atlantagasprices.com/GasPriceSearch.aspx Markets Are Efficient, Chapter 1, Core Economics, Gerald W. Stone, 2008 Coffee Buffs from Amazon to Rio Poise Brazil to Top U.S., Retrieved on March 14, 2012, Retrieved from http://www.businessweek.com/news/2012-03-13/coffee-buffs-from-amazon-to-rio-poise-brazil-to-top-u-dot-s-dot

You May Also Find These Documents Helpful

  • Satisfactory Essays

    I would like to congratulate you on on your efforts of opening a new business. There are numerous aspects to controlling a business, but then again the most significant and crucial aspect is to decide the category of business you want to start and its model.…

    • 574 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Fin 516 Week 1 Homework

    • 306 Words
    • 2 Pages

    4. How much additional capital (Debt and/or Equity) will the company have to raise from outside sources in 2012 if it invests in this capital project, and follows a residual dividend policy?…

    • 306 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Fin100 Assignment # 1

    • 686 Words
    • 3 Pages

    A competitive market is one which a good can be bought and sold at the same price. We can use prices from competitive markets to determine the cash value of a good. Whenever a good trades in a competitive market, the price determines the value of the good. Financial Managers must be able to evaluate costs and benefits in order to make the appropriate decisions that benefit the company. Once we use the market prices to evaluate the cost and benefits of a decision in terms of cash today, it is then a simple matter to determine the best decision for the company. The best decisions make the company and its investors wealthier, because the value of its benefits exceeds the value of its cost. In a competitive market the value of a good is set by its price, and any personal opinion or preference is irrelevant when determining value.…

    • 686 Words
    • 3 Pages
    Good Essays
  • Better Essays

    Security is collateral offered by a debtor to a lender to secure a loan (Downes & Goodman, 2010).…

    • 432 Words
    • 2 Pages
    Better Essays
  • Satisfactory Essays

    fin week 5 assignment

    • 563 Words
    • 4 Pages

    Your finance text book sold 53,250 copies in its first year. The publishing company expects the sales to grow at a rate of 20 percent for the next three years, and by 10 percent in the fourth year. Calculate the total number of copies that the publisher expects to sell in year 3 and 4. (If you solve this problem with algebra round intermediate calculations to 6 decimal places, in all cases round your final answers to the nearest whole number.)…

    • 563 Words
    • 4 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Fin 200 Week 1 Assignment

    • 276 Words
    • 2 Pages

    28.) The relationship between net income and net cash flows from operating activities for the company is that, the net income is the basic in which the company can use is a direct method. The items on the income statement are adjusted to cash accounting. The net income shows where it starts and the adjustments are made to change net income to cash flow from operations.…

    • 276 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    midterm FIN 5080

    • 2075 Words
    • 16 Pages

    Suppose you take a mortgage for $72,764 for 16 years with annual payments. If the annual interest rate is 3.4%, calculate the total interest amount paid over the life of the loan. That is, calculate the total interest paid in 16 years.…

    • 2075 Words
    • 16 Pages
    Satisfactory Essays
  • Satisfactory Essays

    References: Parrino, R., Kidwell, D. S, & Bats, T.W. (Author) (2012). Fundamentals of Corporate Finance (2nd ed) Hoboken, NJ: Wiley: Cost of Capital [Video file]. Available from University of Phoenix website: http://edugen.wiley.com/edugen/courses/crs6420/simulations/Videos/Concept_Review_Video/cost_of_capital/cost_of_capital.html…

    • 452 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    There are four main forms of business structures. The structures of business differentiate based on liability, tax implications, and what type of business is being evaluated when determining what structure to use. This paper will cover the advantages and disadvantages within the four types of business structures; Limited Liability Corporations, Corporations, Partnerships, and Sole Proprietorships.…

    • 642 Words
    • 3 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Why do people choose LLC?

    • 717 Words
    • 3 Pages

    In the business world today, there are many competitions in the market with all the different small businesses and corporations that is hard to compete with especially when you just starting off. In the business market today there is the LLC, partnership and corporation options that people can choose to turn their organization in to. Most of the time, many people started the organization with partnership first with out even noticing because they are just starting off and have not come up with something big enough to turn it into a corporation.…

    • 717 Words
    • 3 Pages
    Satisfactory Essays
  • Good Essays

    Fi 515 Week 6 Homework

    • 436 Words
    • 2 Pages

    EMC Corporation has never paid a dividend. Its current free cash flow of $400,000 is expected to grow at a constant rate of 5%. The weighted average cost of capital is WACC = 12%. Calculate EMC’s value of operations.…

    • 436 Words
    • 2 Pages
    Good Essays
  • Better Essays

    FINC6015 ASSIGNMENT 2

    • 1784 Words
    • 5 Pages

    Based on the trends in following portfolio and P/L chart during the period of January, February and March, it is clearly to see there were some hedging effects during those three months transactions, but our hedging transactions were not enough in January and February and the situation was improved during the period of March.…

    • 1784 Words
    • 5 Pages
    Better Essays
  • Satisfactory Essays

    FIN 571 Week 4 Quiz

    • 933 Words
    • 5 Pages

    FIN 571 Week 4 Quiz. 100%. UOP, 2014. NEW. Grade A. There are 9 questions total…

    • 933 Words
    • 5 Pages
    Satisfactory Essays
  • Better Essays

    LLC and partnership

    • 843 Words
    • 4 Pages

    First of all, Partnership is a business where two or more people share the ownership and responsibility. When they decide to go into business together, Partnership does not require to file documents with the state when they start business, and “Each person contributes money, property, labor or skill, and expects to share in the profits and losses of the business.” (IRS). Usually, partnership business are offered for the small business. And The LLC is another type of business that can be explain as…

    • 843 Words
    • 4 Pages
    Better Essays
  • Good Essays

    References: Emery, D. R., Finnerty, J. D., & Stowe, J. D. (2007). Corporate Financial Management…

    • 763 Words
    • 4 Pages
    Good Essays

Related Topics