Achieved by changing staffing levels and store hours

Assignment Help Financial Management

Reference no: EM132062858

Based on its growth prospects, a private investor values a local bakery at $850,000. She believes that cost savings having a present value of $40,000 can be achieved by changing staffing levels and store hours.

Based on recent empirical studies, she believes the appropriate liquidity discount is 25 percent. A recent transaction in the same city required the buyer to pay a 6 percent premium to the asking price to gain a controlling interest in a similar business. What is the most she should be willing to pay for a 50.1 percent stake in the bakery?

Reference no: EM132062858

Questions Cloud

Database filled with quality data give a company : What advantages can having a well-designed database filled with quality data give a company?

What is the firm target debt-to-total capital ratio : What is the firm’s after-tax cost of debt? What is the firm’s target debt-to-total capital ratio? What is the weighted average cost of capital?

Maximize job performance to receive higher job : List several examples in which an employee can maximize job performance to receive higher job/work compensation

Identify and name all attributes as mentioned : In this written portrayal, several different staff types were identified as directly involved in the various processes for an office visit.

Achieved by changing staffing levels and store hours : She believes that cost savings having a present value of $40,000 can be achieved by changing staffing levels and store hours.

Can we really live by daoist principles in the united state : Address the following questions: What do you want right now that you might be more likely to get if you ay less. not fly harder? How could you do it?

What is your net profit on the option : What is your net profit on the option if Pfizer's stock price does not change over the life of the option? (Negative amount should be indicated by a minus sign.

What is the total return of the tips in dollars : Consider a 2.55 percent TIPS with an issue CPI reference of 193.8. What is the total return of the TIPS in dollars & percentage

What is the apr on the given loan : You have just purchased a new warehouse. To finance the purchase, you have arranged for a 30 year mortgage for 80% of the $ 4,500,000 purchase price.

User Account

All Pages