Mickey, Mickayla, and Taylor are starting a new business (MMT). To get the business started, Mickey is contributing $290,000 for a 40 percent ownership interest, Mickayla is contributing a building with a value of $290,000 and a tax basis of $172,500 for a 40 percent ownership interest, and Taylor is contributing legal services for a 20 percent ownership interest. What amount of gain is each owner required to recognize under each of the following alternative situations? [Hint: Look at §351 and §721.] (Leave no answer blank. Enter zero if applicable.)

a. MMT is formed as a C corporation.

b. MMT is formed as an S corporation.

c. MMT is formed as an LLC.

Compute the anticipated room rate using the Rule-of Thumb, or Building Cost rate.

(Note: More information may be GIVEN than is needed.)

1- Describe a situation from work, school or your personal life, where you have worked on a team.
2- Describe the forming and storming phases of your team's development.
3- What actions could have been taken to make the team more effective during these phases? Support your answer using concepts from the book " Building High Performance Team ".

How does a newton cradle visually demonstrate how NRG and momentum are conserved. I konw it works mathematically but how does releasing balls and having the other two balls on the other side swing up demonstrate momentum and conservation of NRG.

Please discuss the significance of Non Verbal Behavior. How it can block or ease communication in the Business Environment? Please provide an example to support your arguments.

300 -400 words, APA Citation/Referneces

Distinguish between direct and indirect investments in real estate.

AND

Identify the at least two main ways to invest in real estate indirectly in Maldives.

An increase in female non-agricultural wage employment opportunities is likely to reduce birth rates if the price effect is stronger than the income effect. Explain with a graph.

You have been asked by the minister of the economy in your country to make policy recommendations pertaining to your country’s high rate of growth of population growth among the poor. Displeased with the prospect of growing poverty the minister is hesitating between providing subsidies to poor families to reward them for few children or increasing funding to health care. Not being able to afford both policies, which of the two areas will you suggest that funds be allocated to? Write a report to the minister, justifying your choice and explaining why you think that your chosen area will contribute most to reducing poverty among the poor. Make sure to look at the problem from all sides.

The Big Push model illustrates alternative cases where the economy can reach equilibrium with a higher level of total output with coordinated efforts by modern firms and cases where such an outcome is impossible despite such efforts. Explain with a graph only the case where there exists a possibility of a coordination failure.

Suppose that a developing country devotes extensive resources towards improving the education and skill level of the labor force. How might this help the economy avoid a coordination failure? Is this strategy likely to be successful? Why or why not?

Two rural individuals Matyás and Toka are contemplating leaving their village for a nearby town. Given that Matyás has a secondary school certificate, she has a higher probability of obtaining an urban sector job than Toka, who is a primary school drop out. If they remain in the village and work on their family farms, they earn $200 each per year if the yield is high and $100 per year if the yield is low. The yield will be high with probability 0.5 and low with probability 0.5. Alternatively both these individuals can choose to migrate to town, in which case they each expect to find a formal or informal sector job, paying the following earnings according to the given probabilities.

1. (a) According to the Harris-Todaro model, on a one-year time horizon, which individual will migrate? [2 points]

2. (b) On the three-year time horizon, which individual(s) will migrate? (Assume the rate of interest at which both can borrow or lend money is i = 5%) [5 points]

3. (c) Assume a one-year time horizon. Suppose now that there is a traditional family support payment of $40 that all urban migrants must pay yearly to their relatives back in the village. At the same time, each bears a ‘psychological cost’ associated with moving to the city. Such a cost is $25 for Matyás and $15 for Toka. Again, according to the Harris-Todaro model, which farmer will migrate to town? [5 points]

4. (d) Assume a one-year time horizon, Still maintaining the ‘psychological’ costs associated with moving to the city, suppose now that all formal jobs also come with medical benefits, which are worth $30 a year, in additional to the wage. Informal sector jobs do not carry any such benefits. According to the Harris- Todaro model once again, which individuals will migrate to town? [3 points]

Examine the following statements and tick the right answer –

1. The term sheet is a legal agreement between the founders of a company and the investors.-YES /NO

2. The term sheet is a legal agreement between the company and its founders to accept PE investment. - YES /NO

3. The term sheet is a legal agreement between the company and the PE investors. -YES/ NO

4. The term sheet is a list of terms and conditions based on which investors are agreeable to invest in a company. - YES /NO

5. Can the board of directors of a company decide to issue shares to investors for financing the company with PE investment? - YES /NO

6. If the investors mention an acceptable valuation of the company in the term sheet, can the shareholders of a company decide to reject the of fereven if the board of directors is willing to accept it? - YES /NO

7. Aftertheconclusionofexecutionofagreementsandsatisfactionoftheconditionsprecedent to investment, the funds will be made available to the company from the investors -YES

/ NO

8. Eveniftheduediligencefindingofacompanyarenotsatisfactory, can investors decide to go ahead with the transaction? - YES /NO

9. If two companies are theoretically identical in all financial parameters, can an investor value them differently? - YES /NO

10. Can the post-money value of a company be higher than the pre-money value if the company has no debt in its balance sheet? - YES /NO

Enrique lives in rural Ecuador and is finishing his high school. As an outstanding student, he was accepted by the leading private university, University de Quito to study in a two year program on comparative literature and linguistics to become a college teacher. If he goes to university, he will pay a tuition fee of $1000 ($1 = 1 peso) per year (for 2 years). Suppose also that there is a “psychological” cost of $400 associated with moving to the city of Quito, which represents the money equivalent (paid only once in the first period) of leaving his family / girlfriend.

In the first year, Enrique can work in the library of the university and earn $1000 per year, while during the summer of the second year he can do an internship and earn $2000. At the third year, he may start working as a college teacher, where he will earn $4000 per year for the first 2 years of his career. For the sake of this exercise, suppose that we only have 4 periods.

If Enrique refuses to go to University, he will work on the family farm and will earn $1000 per year for the first two years. His father promises him a salary equal of $3000 from the third year. Consider a discount factor of 10%.

1. a) Calculate the expected present value benefits of studying.[7points]

2. b) Calculate the expected present value costs of studying (direct and indirect costs) [7

   points]

3. c) Should Enrique go to the University? [1 points]

Pandalela Products manufacturers a variety of household products. The company is considering introducing a new detergent. The company's CFO has collected the following information about the proposed product.

* The project has an anticipated economic life of 4 years.

*The company will have to purchase a new machine to produce detergent. The machine has an up-front cost (t=0) of RM 2million. The machine will be depreciated on a straight-line basis over 4 years (that is , the company's depreciation expense will be RM 500,000in each of the first four years (t = 1,2,3 and 4). The company anticipates that the machine will last for four years, and that after four years, its salvage value will equal zero.

* If the company goes ahead with the proposed product, it will have an effect on the company's net operating working capital. At the outset, t=0, inventory will increase by RM 140,000 and accounts payable will increase by RM 40,000. At t=4, the net operating working capital will be recovered after the project is completed.

* The detergent is expected to generate sales revenue of RM 1 million the first year ( t=1), RM2 million the second year (t=2), RM 2 million the third year (t = 3), and RM 1 million the final year (t = 4). Each year the operating cost (not including depreciation) are expected to equal 50% of sales revenue.

* The company's interest expenses each year will be RM100,000.

* The new detergent is expected to reduce the after tax cash flows of the company's existing products by RM250,000 a year (t=1,2,3 and 4).

* The company's overall WACC is 10%. However the proposed project is riskier than the average project for Pandalela Products; the project's WACC is estimated to be 12%.

* The company's tax rate is 40%.

a. Determine the relevant cash flows for this project.

b. What is the internal rate of return of the project?

c. What is the net present value of the project?

d. Should the company proceed with the project? Why?

Discussion question:

What kind of effects does social media have on consumer behavior when you are segmenting the market?