Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Question - In February 2014 Facebook acquired WhatsApp, a free instant messaging service for smartphones for $19 billion which is by far Facebook's largest acquisition. At the time of acquisition, WhatsApp was a private start-up company and had $10.2 million in revenue and a negative operating cash flow of 9.9 million for the year ending December 31, 2013. WhatsApp has a large user base and experiences rapid growth in international messaging such as Europe, Latin America, India and other parts of Asia. Its key competitors include Line and WeChat which dominate Japan and China respectively. Facebook's user growth has been stagnating in recent years and is concentrated in the U.S. and other developed countries in Europe. By February 2016, WhatsApp had a user base of over one billion, making it the most popular messaging application at the time.
(1) Explain what difficulties financial analysts may face in valuing a private company like WhatsApp in comparison to the valuation of a publically listed company.
(2) Explain the important factors Facebook would have taken into account when estimating the value of WhatsApp to be $19 billion.
Illustrate what is the rationale of the GASB for requiring two sets of financial statements, each with a different measurement focus and basis of accounting for governmental activities?
Use depreciation by linear function of use. A machine costs $30,000 and will produce 10,000 units and be sold for $6,000. Up to the end of the third year it produced 50,000 units and during the fourth year it produced 10,000 units. What is the deprec..
Assuming perfect capital markets with positive corporate taxes, what will be the most likely immediate change in the market value of the company?
What "adjusting entry" should CCIC prepare on December 31, 2020? Complete Coverage Insurance Company (CCIC) sells Automobile Insurance policies
What does the term noncontrolling interest mean? Where should the noncontrolling interests claims be reported in a consolidated set of financial statements?
How much cash Romeo should receive? Pedro, Quito, Romeo and Sixto are partners, sharing earnings in the ratio of 3/21, 4/21, 6/21 and 8/21.
The offer represents a 20% premium to buy Nissin Steel, calculate the price per share of the combined corporation after the merger.
Compute trend percents for all components of both statements using 2006 as the base year and analyze and comment on the financial statements and trend percents from part 1.
Prepare the journal entry to record income taxes in 2022 assuming pretax accounting income is $225 million. No additional temporary differences originate.
Some hotels use dining room servers and room service attendants interchangeably. What kind of special training would a room service attendant need to become an efficient dining room server and vice-versa? Explain your reasoning.
Repaid over 30 years, with month-end repayments of 4,000. If the interest rate is 5.3% p.a. compounded monthly. Calculate the principal paid for year 10.
The value of these claims should not be included in the income statement as an expense. Do you agree with these arguments?
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd