Assignment 2: Discussion—Decision Case—World.com

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Review Decision Case 1 (World.com) attatched document (Worldcom Advertising). Analyze the data presented in the case scenario and address the following questions in your initial post:

  1. Assume that the most you would pay for the business is 20 times the monthly net income you could expect to earn from it. Compute this possible price.
  2. Nicholas states that the least he will take for the business is an amount equal to the business's stockholders' equity balance on January 31. Compute this amount.
  3. Under these conditions, how much should you offer Nicholas? Give your reason.

By the end of the week, provide substantive responses to at least two other students' initial posts.



 

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