Reference no: EM131379159
Assignment
Using the mini case information, write a 250-500 word report presenting potential ethical issues that may arise from expanding into other related fields. In your discussion, proactively strategize about possible expansion by explaining opportunities to promote ethical standards within your organization.
Your employer, a mid sized human resources management company, is considering expansion into related fields, including the acquisition of Temp Force Company, an employment agency that supplies word processor operators and computer programmers to businesses with temporary heavy workloads. Your employer is also considering the purchase of Biggerstaff and Biggerstaff (B&B), a privately held company owned by the two brothers, each with 5 million shares of stock. B&B currently has free cash flow of $24 million, which is expected to grow at a constant rate of 5%. B&B's financial statements report marketable securities of $100 million, debt of $200 million, and preferred stock of $50 million. B&B's WACC is 11%. Answer the following questions.
A. Describe briefly the legal rights and privileges of common stockholders.
B. 1.) Write out a formula that can be used to value any stock regardless of its dividend pattern
2.) What is a constant growth stock? How are constant growth stocks valued?
3.) What happens if a company has a constant g that exceeds its r8? Will many stocks gave expected g>r8 in the short run (for the next few years)? In the long run (forever)?
c. Assume that Temp Force has a beta coefficient of 1.2 that the risk-free rate is 7.0%, and that the market risk premium is 5%. What is the required rate of return on the firm's stock?
D. Assume that the Temp Force is a constant growth company whose last dividend (which was paid yesterday0 was $2.00 and whose dividend is expected to grow indefinitely at a rate of 6%
1.) What is the firms current estimated intrinsic stock price?
2.) What is the stocks expected value 1 year from now?
3.) What are the expected dividend yield, the expected capital gains yield, and the expected total return during the first year?
|
What statutory situations fall outside employment at will
: What is the doctrine of employment-at-will?- What contractual situations fall outside employment-at-will?- What statutory situations fall outside employment-at-will?
|
|
Looked for job for at least the last four weeks
: Suppose that you are available for work but have not looked for a job for at least the last four weeks because you believe that no jobs are available. If you are available for work and have looked for a job at some point during the previous twelve mo..
|
|
What type of agreement would protect emt as a union member
: As a member of the Teamsters, would the EMT in this case be an at-will employee? Why or why not?- What type of agreement would protect the EMT as a union member? Explain.
|
|
What is the type of leadership power
: ACCT 19083 Corporate governance and ethics Assessment Case Study. Ferrell, Fraedrich & Ferrell (2015) on pages 196-198 outline many types of power that shape corporate culture. What is the type of leadership power that is exhibited by the Board of ..
|
|
What is stocks expected value one year from now
: What is the firms current estimated intrinsic stock price? What is stocks expected value 1 year from now? What are the expected dividend yield, the expected capital gains yield, and the expected total return during first year?
|
|
Describe the distribution as shown in the histogram
: Describe the distribution as shown in the histogram. What feature of the problem is more apparent in the histogram than in the scatterplot?
|
|
The judgment was for whom and why
: When the mill arrived, Ross refused to accept it, stating that it was too small and would not do the job he intended it to do. Clifton brought suit to recover the amount he had spent. The judgment was for whom and why?
|
|
Research to evaluate by each of your five criteria
: Discuss your overall perceptions of the Research and Writing course thus far. Describe the course concepts that either have seemed familiar or have confused to you.
|
|
Identify duties lloyd has violated in relation to principals
: He later used these funds to pay for his student loans, his automobile loan, his insurance, his taxes, his outstanding credit card bills, and his barber. Identify the duties that Lloyd has violated in relation to his principals, Parker, Hockenberr..
|