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Nadya [2.5K]
2 years ago
14

In Sweden, firms that fail to meet their debt obligations are immediately auctioned off to the highest bidder. (There is no reor

ganization through Chapter 11 bankruptcy.) The current managers are often the high bidders for the company. Why
Business
1 answer:
kati45 [8]2 years ago
4 0

Answer:

Explanation:

The process of buying and selling goods or services by offering them up for bid, taking bids, and then selling the item to the highest bidder or buying the item from the lowest bidder is referred to as an Auction.  

In Sweden, the current managers for the company are the high bidders due to the fact that they possess full knowledge of the financial position of the firm and if the current management continues, then reorganizations can be arranged in a private  negotiation between senior creditors and the debtor, without major intrusion from courts and other claimants.

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The Swiss Clock Shop manufactures clocks on a highly automated assembly line. Its costing system uses two cost categories, direc
Georgia [21]

Answer and Explanation:

The computation of the equivalent units for direct material and conversion cost is shown below:

                  Physical units         Direct Materials        Conversion Cost

Beginning

Work in process

100% and 50%  250

Units Started         800

Total Units

Under process  1,050

Less : Ending

Work in process      150

Units Transferred

to TestingDepartment  900          900                            900                  

Ending Work in process 150          150                             112.50

(100% and 75%)

Equivalent units ofproduction 1,050   1,050                    1,012.50

7 0
2 years ago
Amazon.com, Inc. is one of the largest Internet retailers in the world. Netflix, Inc. provides digital streaming and DVD rentals
Sever21 [200]

Answer:

Amazon 65.35 Days Netflix 253.03 Days

Explanation:  

5 0
2 years ago
What do individual shareholders gain when they buy shares of a company’s stock?
sveticcg [70]
When an individual buy shares of a company's stock, They Gain partial ownerships in the corporation (option A)

If the individual buy 10 % of the total stocks, it means that individual own 10% of the company. If his ownerships goes above 50 % , he became a majority owner and basically can make all the decision in the company
7 0
2 years ago
Read 2 more answers
Suppose Luther Industries is considering divesting one of its product lines. The product line is expected to generate free cash
erik [133]

Answer:

$61,127,596

Explanation:

formula for the value of operations =

[Free Cash Flows (1 + growth rate)] / (WACC - growth rate)

where

We have D/E = 2 or D=2*E  (debt-equity ratio)

Tax = T=35%,

Ks=10%,

Kd =7%

Kd*(1-T) = 7%*(1-35%) = 4.55%

WACC = Kd*(1-T)*(D/(D+E)) + Ks*(E/(D+E))

WACC = 4.55%*(2E/3E) + 10%*(E/3E)

WACC = 4.55%*(2/3) + 10%*(1/3)

WACC = 6.37%

Value of Ops = 2000000*(1+3%)/(6.37%-3%)

Value of Ops = $61,127,596

to be profitable it must receive for the product line $61,127,596

6 0
2 years ago
New zealand's economy has received recent boosts from _____. natural gas trade with china foreign investors agriculture tourism
sergejj [24]
I think the correct answer from the choices listed above is the last option. New zealand's economy has received recent boosts from <span>tourism. Hope this answers the question. Have a nice day. Feel free to ask more questions.</span>
6 0
2 years ago
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