Joint stock company

Assignment 2 Please read chapters 3&4 and answer the following questions: Chapter 3 Questions 1-) (Tax Rates) Suppose taxes are related to income level as follows: Income Tax $1,000 $200 $2,000 $350 $3,000 $450 a. What percent of income is paid in taxes at each level? The person with $1,000 income will pay 20% in taxes (200/1000). The person with $2…

It explains the idea that a company chooses how much debt and how much equity finance it should use by balancing the costs and benefits. It basically entails offsetting the costs of debt against the benefits of the debt. The This theory of capital structure discusses the various corporate finance choices that a corporation can experience. Modigliani and Miller introduced the tax benefit of debt. Later it led to an optimal capital structure given by the trade-off theory. According to M& M, the…

What would it be like if you had a watch that could tell you when you would die? Would you settle your personal affairs on order, if so at what price? Would you be tempted to buy products at a special discounted pricing that would bring negative outcome? In this thought-provoking book by Van Fleisher which depicts the current reality in the USA identifies what triggers within the society. Final Notice is a book that focuses on the tech advancements and the gun laws which currently operates…

July 2015, Satya Nadella undid what is considered one of the biggest mistakes in Microsoft’s history; the acquisition of Nokia. The story starts a couple of years earlier when Steve Ballmer was CEO of Microsoft. Under his leadership, he steered the company in 2011 to negotiate with Nokia on a takeover bid, which was finalized in September of 2013. The Microsoft board fought against the deal but Ballmer (sometimes verbally abusing) disregarded their opinions and ¨forced¨ the board along to…

downfall of Enron, corporate governance being one of the main. The Corporate Governance Code issued by the Financial Reporting Council (2010) defines corporate governance as ‘the system by which companies are directed and controlled’. Boards of directors are responsible for the governance of their companies. The shareholders’ role in governance is to appoint the directors and the auditors and to satisfy themselves that an appropriate governance structure is in place. The responsibilities of the…

In this story it is about a girl named Lauren and a boy named Jack. Lauren and Jack are polar opposites one knows how to manage their money one doesn't very well but one person is willing to help the other person to figure out how to manage their money and they find each other just in time! Once Upon a Time there was a girl named Lauren. Lauren was a good girl she got all of her work done on time. She was rewarded with a great job opportunity at ESPN. They offered her the job and she would be…

If you were given the chance to perhaps win cash or prizes, how would you do it? Maybe you would go to your grandmother’s BINGO competition, or maybe you put your ticket in a raffle and hope that your number is called. Both those options sounds enticing, but instead I would go play games or maybe answer trivia questions. Yes, I understand that BINGO is a game, but I’m not talking about that kind of game. Instead, I’m talking about gameshows, like Jeopardy or Legends of the Hidden Temple. It will…

compelling success story. It is the brainchild of current CEO Kevin Plank who started the company, in 1996, with a meager $15,000, some locally purchased fabric and a burning desire to innovate. In 2005, the company went public and in less than a decade it ended the year with above $3 billion in revenues. Competing in the highly competitive sports apparel industry, Under Armour’s core competency is innovation. The company revolutionized the sports apparel industry with the introduction of…

founded Enron and became Enron’s Chairman and CEO. However, Enron management aggressively decided the need to grow faster, increase investor’s confidence, attract more investments and increase their credit rating. In order to achieve their vision, the company pushed for the change to the constitution and the legislature removed the law which relaxed regulations in the industry. The changes in accounting methods enabled Enron to inflate the revenues by using mark-to-market method. Enron also…

results last week on 11th January 2016. The company made an adjusted net profit of $ 65 million or $ 0.04 per share in the quarter while that of $ 121 million or $ 0.56 per share in the last year. The adjusted EBITDA for the fourth quarter was $ 590 million including $ 71 million of special items. The revenue for the quarter was $ 5.2 billion i.e. 18 % down from the same quarter of 2014 and 6 % down from the previous quarter. The reasoning given by the company for the decline in revenues was…