amount of money having to pay back and could put stress on the organization if any financial situations ever aroused. Taking out this loan will have more people accountable for the company’s wealth. The only thing positive about doing this is that Merit is probably guaranteed to receive the money that they are asking. The biggest drawback is creating debt with multiple debtors. Public corporations are capable of raising capital from an IPO‚ as employees or individuals buy shares in the company‚ since
Premium Public company Initial public offering Finance
including J.P.Morgan with whom Merit has good business relationship and has served Merit with its short term as well as long term funding requirements in the past. The pros of this option are * The well established relationship between J.P.Morgan and Merit will facilitate ease of transactions and negotiations for the 4 billion loan. * Since the consortium of lending bankers will consist of J.P.Morgan ‚ it could better explain the creditworthiness and credibility of Merit to the other bankers and
Premium Finance Debt Stock
Case Study: Merit Enterprise Corp March 19‚ 2013 After careful review Merit Enterprise Corp case study the pros of option 1: (assuming that JP Morgan Chase will continue to extend season credit lines and medium term loans.) First‚ it would keep Merit Enterprise as a private company. Secondly‚ Merit’s would have the right of non-disclosure. Private companies are not required to disclose details about their operations. Third‚ Merit Enterprise does not have to answer to shareholders if the stock
Premium Privately held company Public company Finance
Assignment 1.3: Case Study: Merit Enterprise Corp Sara Lehn‚ chief financial officer of Merit Enterprise Corp.‚ was reviewing her presentation one last time before her upcoming meeting with the board of directors. Merit’s business had been brisk for the last two years‚ and the company’s CEO was pushing for a dramatic expansion of Merit’s production capacity. Executing the CEO’s plans would require $4 billion in capital in addition to $2 billion in excess cash that the firm had built up. Sara’s
Premium Bond Finance Public company
Study “Merit Enterprise Corp” Abstract In my analysis I will discuss the two different options for Merit Enterprise Corp. Should the chief financial officer (CFO) recommend Merit to get the $4 billion from a loan through JPMorgan and keep the business private or should Merit go public and issue stock in the primary market. I will go through the Pro and Cons for both options and explain which why CFO should recommend to the board to go with option 2. Analysis of the Case Study “Merit Enterprise
Premium Finance JPMorgan Chase Debt
Chapter 1 Company File • Company History Kimuragon Enterprise Corp. (KEC) first started in Taiwan twenty five years ago. As the company grew‚ they decided to branch out to other countries. The branch here in the Philippines was brought forth because of Noel Cuico’s trustworthiness. It all began when Ping Jung Hsin‚ President of KEC‚ came to the Philippines to conduct some business transaction. He always had the misfortune of being fooled by dishonorable taxi drivers‚ because he couldn’t understand
Premium Corporation United Kingdom Taxi Driver
researched the qualifications for the Presidential and Merit scholarships. These scholarships are granted to exceptional students excelling in high school. Fortunately‚ I was awarded the Presidential scholarship from Manhattan College due to my high academic achievements. Moreover‚ I applied to STEM scholarships at Stony Brook University. This scholarship is given to a rising senior who shows a strong aptitude in the science field. Overall‚ the merit and STEM scholarships are beneficial and will be used
Premium High school College Education
The most consistent data points to the impact of high-quality teachers in the classroom. This along with the Race to the Top fund has opened the door again for merit pay or performance pay. Merit pay ties pay increases to school test performance‚ evaluation of the teacher’s in-class performance and professional efforts (Goldhaber 2008). Merit pay is a solution drawn from the business world‚ and is based on the belief that rewarding effective teachers and encouraging them to work harder will increase
Free Education Teacher School
Essay on Democracy – Its Merits and Demerits (free to read). The English word ‘Democracy’ is derived from two Greek words ‘Demos’ and ‘Kratia’ or ‘cratos’. Demos means crowd and ‘Kratia’ or ‘cratos’ means power. This is why the critics of Democracy have described it as Mobocracy. But in reality Democracy is not mobocracy but rule by majority of the people according to certain rules and regulations which are accepted by the people of a country. In the beginning there was direct Democracy.
Premium United States Democracy Abraham Lincoln
The Alchemist: Worth Literary Merit? The story of Santiago‚ the Andalusian shepherd boy‚ who travels to the Egyptian desert looking for treasure close to the Pyramids to fulfill his personal legend‚ captured the hearts of many in Paulo Coelho’s The Alchemist. First published in 1988‚ The Alchemist is a critically acclaimed book‚ considered one of the ten best books of the twentieth century and translated in over eighty languages. In Paulo Coelho’s The Alchemist‚ his superior use of theme‚ characters
Premium Life Meaning of life Human