Define Franchise.

Q: What is make-whole provision?

A: A call provision helps the issuer of the bond to call back or repurchase the bond at any time before…

Q: Define partnership

A: A partnership is a legal agreement between 2 or more person to run the business for a foreseeable…

Q: What is preemptive rights offering?

A: Preemptive rights:  A contractual clause that provides the shareholders with a right to purchase the…

Q: Explain Concept Syndications?

A: Syndication is a process by which small lenders come together and they lend the money to a big…

Q: What are “participation rights”?

A: Convertible securities: Convertible security is a security that has the potential to be converted…

Q: What is AB Share Mechanism and what is this mechanism used for?Provide Example

A: An organization's total capital is bifurcated into many units. Each unit represents ownership in the…

Q: Supplies Unearned Revenue Supplies Expense Cash Accounts Receivable Accounts Payable Rent Expense…

A: The net income or loss is calculated as the difference between the revenue and expenses. The owners'…

Q: Define the term realization principle.

A: Accounting: Accounting refers to the information system, where the economic activities of a…

Q: Define Pooling of interests method

A: The pooling of interest is a technique used for the M&A between two companies. In this method,…

Q: Define Hedging.

A: Hedging is the transfer of risk from a risky financial instrument to another instrument by buying or…

Q: Define unsyndicated offering

A: SOLUTION:-   A syndicate offering is a method of bringing a brand new security to the market. The…

Q: What is a CMO?

A: A collateralize mortgage obligation (CMO) refers to a type of mortgage-backed security that contains…

Q: Define the term joint product.

A: Product costs: The costs incurred to acquire the merchandise, ship the stock, prepare the…

Q: Define S corporation

A: The S corporation is a tax election that legal business entities can choose to elect for taxes…

Q: Define license.

A: A license is a official permission in written given by licensor to use or do for which permission is…

Q: Define Explicit Interest.

A: Explicit interest is the amount of interest paid by loan or in other words actual interest paid on…

Q: Define the term lnvesting activities? Explain with an example?

A: Investing activities are the activities in a business which involves investment done during a…

Q: hich is more liquid, franchise or trademark?

A: Liquidation is the process of closing a business and distributing its assets to claimants in finance…

Q: What ownership pattern is referred to as mutual ownership? Describe briefly or illustrate with a…

A: When two businesses in a business combination own an equity interest in each other, this is known as…

Managing Agency Conflict

Conflict is defined as an act of disagreement between two parties caused by uncertainties between them. The conflict has a negative outcome that affects both parties involved in the argument. Conflict arises when the parties' thoughts do not align or go in opposite directions. Conflicts have negative consequences for both the individual and the business. As a result, it should be avoided.