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How much is a customer worth? How much does it cost to acquire an additional one? This is the focus of Peters' plan for a successful early exit when the business model is yet to show any profit. However, investors will also have to consider other factors. Which factors are not covered in Peters' analysis?
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- Cash Flow and Early Exits How much is a customer worth? How much does it cost to acquire an additional one? This is the focus of Peters' plan for a successful early exit when the business model is yet to show any profit. However, investors will also have to consider other factors. Which factors are not covered in Peters' analysis?Can you identify a possible explanation for the company’s declining profits? If so, what is it?Why should the investment decision be separate from the financing decision? What error would businesses make if they did not separate these type of decisions? Why is it sometimes difficult to separate these decision?
- Can the retiring strategy of a firm jeopardize its profitability? Explain and provide examples of corpora (if any) where this has happened. Please help me answer this question. I'll upvote for you. Thanks in advance.What is NOT a question that needs to be answered when completing financial due diligence? A. Is the company worth what it seems to be? B. Is the deal worth doing? C. All of these choices are questions that need to be answered l. D. Are these any major risks that could be a problem?New entrants are attracted when the organizations’ profits are well in excess of the cost of capital. At the same time the threat of entry depends on the existence of barriers to entry and the reaction of existing competitors. Analyze barriers which make the threat of entry low with examples.
- What are some advantages of invetsting in industy competitors? ie., You own stock in Walgreens and you also choose to invest in a competitor such as CVS How would investing in an industry's competitor help ensure a satisfactory return even if the original company's value depreciates?Which of the following is not a reason a company would be willing to accept new business at a loss? A.) The company has the expectation that certain customers can influence other potential customers. B.) The company has the expectation that it will make up for it in later years and has the expectation that certain customers can influence other potential customers. C.) The company has the expectation that its estimates will prove incorrect and that the business will result in a profit. D.) The company has the expectation that it will make up for it in later years.Questions: Does a low return on sales indicate a weak company? (Y/N). Explain your answer. Do greater Net sales always result in greater net income? (Y/N) Why? Examine the financial information above and comment on the item that you find interesting.
- Assuming you have done the financial ratio analysis and you have realized that profitability is looking good but liquidity is not impressive and needs urgent attention. What do you think could be the problem with CONCAVE Ltd. that your company needs to help them address?Is it possible for a new business venture to be profitable and yet have financial trouble?State whether the following statements are true or false. 8) Trade-Off between Risk-Return is the main principle to maximize the firm value. 9) Reduce inventory and use the proceeds to pay off a part of current liabilities will lead to increasethe quick ratio. 10) Unethical Behavior of the manager includes using the information that not available to the publicto make money.