In order to decide on an IPO price‚ we must look at the current financial position of the company‚ as well as make projections for possible future scenarios. From the data given‚ we know that Prairie Home Stores (PHS) has a current book value of $80‚000‚000. With 400‚000 outstanding shares‚ the book equity per share is $200. There are two possible paths for future performance to consider. The first‚ a constant growth scenario‚ assumes that PHS will continue on its current trajectory of paying
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1. What appears to be the problem areas in the Hobby Horse Company? The problem with Hobby Horse Company is that they were having a tough year throughout 2011. The company has $45 million loan that is due at the end of September‚ however the company does not have the means to cover the cost of the loan. Looking at the financial statement the company has fairly high leverage where their equity is not as strong. In addition‚ their current assets don’t cover current liabilities—meaning that the company
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Internet Mini Case #2 Tech Data Corporation Maryanne M. Rouse The Company TECH DATA CORPORATION’S (TECD) AGGRESSIVE GROWTH HAD TAKEN THE COMPANY from 10 employees and $2 million in sales in 1983 to approximately 8‚000 employees and $15.7 billion in sales for fiscal 2002 (fiscal year ended January 31‚ 2003) and secured the company’s position as a leading distributor of information technology (IT)‚ logistics management‚ and other value-added services to “solution providers‚” including value-added
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Trident University International Willie Bates Module 2 Case ITM524: Foundations of Information Technology Management Dr. Mina Richards Introduction We live in an environment which changes often. In the business world‚ what is in demand today for an organization may not be a requirement for tomorrow. Smart managers know that organizations that succeed do so because they adjust to keep up with the changes that are taking place (Harmon‚ 2007). Change in business comes in many forms and
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How Do Casinos Guard Against Unethical Behavior? How do casinos guard against unethical behavior? Introductions: A casino is type of facility which homes and accommodates certain kinds of gambling actions. Casinos are most generally constructed‚ combined‚ or near with restaurants‚ cruise ships‚ retail shopping‚ hotels‚ or various other attractive tourist places. There is also much arguing over whether or not the economic and social effects of casino
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Question 2 Introduction Takealot.com is one of South Africa fastest growing and largest online retail stores. This great e-commerce business was officially launched in 2011 after the acquisition of Take2.com by Kim Reid who is a former senior executive at Naspers and the US based hedge fund‚ Tiger Global. Takealot.com offers a service of online shopping to consumers. This business was developed with a simple vision and goal in mind which is to offer a one stop customer focused online retail store
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FIN-516 – WEEK 2 – MINI – CASE ASSIGNMENT 1. What is the name of the company? What is the industry sector? General Electric Industrial Goods 2. What are the operating risks of the company? 3. What is the financial risk of the company (the LT debt to total capitalization ratio)? Debt to equity = Total debt ÷ GE shareowners’ equity = 11‚589 ÷ 116‚438 = 0.10 4. Does the company have any preferred stock? (shares/book value/market price and value) GE does not have any preferred
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( Answers to Mini-Case Questions BioCom Inc. This mini-case provides a review of the methodology and rationale associated with the various capital budgeting evaluation methods such as payback period‚ discounted payback period‚ NPV‚ IRR‚ MIRR‚ and PI. 1. Compute the payback period for each project. |Time of Cash Flow |Nano Test Tubes |Microsurgery Kit | |Investment |−$11‚000.00 |−$11‚000.00
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Case Report—Controls at the Bellagio Casino Report Introduction MGM MIRAGE is one of the world’s leading hotel and gaming companies‚ and the Bellagio is one of them‚ which attracts lots of customers every year. MGM MIRAGE operated as two segment‚ one is Casino resort and the other is resort. Company’s key revenue is from gaming and hotel‚ and most revenue was cash. This case is focused on the controls used in the casino‚ especially in difficult to control table games areas. Nowadays‚ customers become
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Case Analysis 1. What are the strategic groups in the casino industry? The Las Vegas and Atlantic City which are known for their popularity have been around for sometimes since 1970s. These strategic groups have been operated under one business model. Their main objectives are investing in gambling industry that was not allowed back in 1970s. The time they were initiated this type of business was very challenging to them but they have lived until today. The Nevada legalization
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