Tommy Toadflax, the CEO and founder of Toadflax Enterprises, decides to hire an office manager for his growing business. Tommy places an ad in the local newspaper with the statement that “a four year Bachelor’s degree is required and an MBA is preferred” for this position. Other office managers in the same industry do not have or need an MBA, but Tommy feels that the MBA will make his company “look better” to prospective customers. Using a form he found on the internet, Tommy has all applicants submit a resume and complete a basic online job application that asks them their name, address, gender and date of birth. Tommy interviews 2 finalists for the position: a man, John Jessamine, and a woman, Mary Mistletoe, both of whom meet the minimum qualifications for the job. In addition to questions about their professional background and experience, Tommy chats with each one during the interview, asking whether they are married and about their children. Tommy hires John, citing the fact that he has an MBA. Does Mary have a case for discrimination under Title VII? Why or why not?
In: Operations Management
There have been several recent cases of a CEO or CFO resigning or being ousted for misrepresenting academic credentials. For instance, during February 2006, the CEO of RadioShack resigned by “mutual agreement” for inflating his educational background. During 2002, Veritas Software Corporation’s DFO resigned after claiming to have an MBA from Stanford University. On the other hand, Bausch & Lomb Inc.’s board refused the CEO’s offer to resign following a questionable claim to have an MBA.
Suppose you have been retained by the board of a company where the CEO has ‘overstated’ credentials. This company has a code of ethics and conduct which states that the employee should always do “the right thing.”
(a) What is the board of directors’ responsibility in such matters?
(b) What arguments would you make to ask the CEO to resign? What damage might be caused if the decision is made to retain the current CEO?
In: Accounting
Create a 2x2 MDN grid containing at least 4 top company
employees (ex. CEO,
President, VP, CFO, COO, Founder, Co-founder, etc…) with headshot
image, rank, first
name, last name, age, & email information. Use alternating
background colors of
orange (with black text) and black (with white text).
In: Computer Science
Manhattan is a thriving technology company that has had success producing smartphone games with in-app purchases. Manhattan has recently acquired two other companies to expand its game offerings and increase its workforce. The Founder and CEO started the company a few years ago and is an app developer himself. He does not have any training or experience in accounting or finance but has decided it is important to surround himself with the best people possible. He has hired several accountants with professional designations to help with the financial reporting.
The company’s accounting relies heavily on estimates because most of the company’s assets relate to work in progress as new games are always being developed. Once a game has been released it can generate significant revenue, but consumers tend to tire of games quickly and the long-term value of the product is never certain. As a result, assets are hard to value and complex accounting methods must be used.
The CFO is a designated accountant and a former partner at an audit firm. She has used the company’s technology skills to ensure that the IT controls around accounting information are strong. She has placed a real emphasis on segregation of duties and accounting staff take turns checking each other’s work as a means of detecting mistakes and learning from each other.
Required:
As an auditor how would you assess the control risk, high or low? Provide two reasons to support your assessment.
In: Accounting
Discuss and Elaborate the following questions with Leadership (Discuss and Elaborate more with Leadership, Organisational Behavior, Management and other related topics.) (Word limit of 600 words)
If you were in charge, what kind of leadership style (Example: Transactional & Transformational leadership) would you choose to adopt? Why?
Use Elon Musk (Co-founder & CEO of Tesla), Anthony Tan (CEO & Founder of Grab) and Tan Hooi Ling (Founder of Grab), or other related organizations and company, as examples to discuss and illustrate the top two concerns of Leadership.
What have you learned from the Leadership? Discuss and Illustrate two learning points, give examples and elaborate when necessary.
*PLEASE TYPE YOUR ANSWER (NO SCREENSHOTS OR IMAGES) IN FULL SENTENCE/PARAGRAPH/REPORT FORMAT, NO POINT FORM. THANK YOU IN ADVANCE
In: Operations Management
In: Accounting
You are the founder, CEO, of a new company and are responsible for setting up a corporation. Please discuss the following:
How you would ideally like to structure your company (pick an industry to describe and a product or service). Also, what type of corporate governance mechanisms would put in place.
What kind of culture you would like to have and why?
Discuss how you would recruit, train, and maintain employees and if you would reward people individually or for working in a group?
Discuss how you would create an innovative organization. Please consider how you will engage in a type of innovative activity for this product.
Describe what type of strategy would you like to undertake with a particular product or service. Determine if you have a domestic only or international plan and incorporate this into the discussion.
In: Operations Management
Please, i need an analysis on the life of jeff bezoz founder and ceo of amazon, his background, career and key leadership characteristics. also how does a company cope with accelerating change. and how can a firm encourage innovation.
In: Operations Management
MCKENZIE CORPORATION’S CAPITAL BUDGETING
Sam McKenzie is the founder and CEO of McKenzie Restaurants, Inc., a regional company. Sam is considering opening several new restaurants. Sally Thornton, the company’s CFO, has been put in charge of the capital budgeting analysis. She has examined the potential for the company’s expansion and determined that the success of the new restaurants will depend critically on the state of the economy over the next few years.
McKenzie currently has a bond issue outstanding with a face value of $25 million that is due in one year. Covenants associated with this bond issue prohibit the issuance of any additional debt. This restriction means that the expansion will be entirely financed with equity at a cost of $5.7 million. Sally has summarized her analysis in the following table, which shows the value of the company in each state of the economy next year, both with and without expansion:
| Economic Growth | Probability | Without Expansion | With Expansion |
|---|---|---|---|
| Low | .30 | $20,000,000 | $22,000,000 |
| Normal | .50 | 25,000,000 | 32,000,000 |
| High | .20 | 43,000,000 | 52,000,000 |
What is the expected value of the company in one year, with and without expansion? Would the company’s stockholders be better off with or without expansion? Why?
What is the expected value of the company’s debt in one year, with and without the expansion?
One year from now, how much value creation is expected from the expansion? How much value is expected for stockholders? Bondholders?
If the company announces that it is not expanding, what do you think will happen to the price of its bonds? What will happen to the price of the bonds if the company does expand?
If the company opts not to expand, what are the implications for the company’s future borrowing needs? What are the implications if the company does expand?
Because of the bond covenant, the expansion would have to be financed with equity. How would it affect your answer if the expansion were financed with cash on hand instead of new equity?
In: Finance
Paul Rosenzweig is founder and CEO of? OpenStart, an innovative software company. The company is? all-equity financed, with100 million shares outstanding. The shares are trading at a price of $1.Rosenzweig currently owns 10 million shares. There are two possible states in one year. Either the new version of their software is a?hit, and the company will be worth $150?million, or it will be a? disappointment, in which case the value of the company will drop to $75 million. The current risk free rate is 4.3%.
Rosenzweig is considering taking the company private by repurchasing the rest of the outstanding equity by issuing debt due in one year. Assume the debt is?zero-coupon and will pay its face value in one year.
a. What is the market value of the new debt that must be? issued?
b. Suppose OpenStart had? risk-free debt with a face value of $75 million. What would be the value of its debt and levered equity? today?
c. What fraction of the levered equity in ?(b?) would you need to combine with the? risk-free debt in ?(b?) to raise the amount in left parenthesis Bold a right parenthesis(a)??
d. What are the payoffs of the portfolio in ?(c?)?
What face value of risky debt would have the same? payoffs?
e. What is the yield on the new debt that will be required to take the company? private?
f. If the two outcomes are equally? likely, what is? OpenStart's current WACC? (before the? transaction)???
g. What is? OpenStart's debt and equity cost of capital after the? transaction? Show that the WACC is unchanged by the new leverage.
In: Finance