two to three pages discussing issues in connection with sale of business.

Review the Week 4 Case Study attached. Summarize the following in 2 to 3 pages:

  • Discuss issues raised concerning Sanders’ approach in connection with the sale to Brown and Massey.
  • Include some of the other options that Sanders may have considered other than the $2,000,000 cash price.
  • Explain the reasons for regulatory control over financial markets.

Let’s assume Colonel Sanders obtained a six-month loan of $150,000 Canadian dollars from an American bank to finance the acquisition of a building for another Canadian franchise in Quebec province. The loan will be repaid in Canadian dollars. At the time of the loan, the spot exchange rate was U.S. $0.8995/Canadian dollar and the Canadian currency was selling at a discount in the forward market. The contract after six months (face value = C$150,000 per contract) was quoted at U.S. $0.8930/Canadian dollar.

  • Explain how the American bank could lose on this transaction assuming no hedging.
  • Assume the bank does hedge with the forward contract, what is the maximum amount it can lose?

Format your paper to current APA standards.

Click the Assignment Files tab to submit your Microsoft® Word assignment.

You can leave a response, or trackback from your own site.


5 Responses to “two to three pages discussing issues in connection with sale of business.”

  1. 281251 254644Very intriguing topic , thanks for posting . 881071

  2. 711183 990708I was looking for this. Really refreshing take on the details. Thanks a great deal. 308719

  3. 83310 828734Heya just wanted to give you a brief heads up and let you know several with the pictures arent loading properly. Im not positive why but I believe its a linking issue. Ive tried it in two different web browsers and both show the same outcomes. 824367

  4. cvv2 shop says:

    245062 132793If I ought to say something, then nothing will stop the chatter within 817991

  5. 859057 699326As I website owner I feel the subject material here is real fantastic, appreciate it for your efforts. 869841

Leave a Reply

Powered by WordPress | Designed by: buy backlinks | Thanks to webdesign berlin, House Plans and voucher codes