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Equity Theory

Discussion of three theories of change management

Change management is essentially a communication strategy that reduces anxiety and concerns in those being affected in order to help them accept change. The best-known planned-change processes, the force field analysis model has resulted from the work of Kurt Lewin. Two other theories of Change Management will be discussed here;

Case Analysis for Accounting Theory Course.

I am having a problem with three of the eight points (6,7,8) in relation to this problem. I am required to prepare a memo to the partner in accounting firm covering in detail the accounting and audit issues arising from this engagement. Attached is point number 6 - the question relates to inventory. The following points I

Performance and Motivation Theory

Today's leaders are expected to get continuous improvement in performance. Various approaches from motivation theory to performance management can be used to do so. What is the value of these different approaches? How does a leader leverage them as he or she focuses on improving business results?

Difference between operating and financial leverages

Discuss the difference between operating and financial leverage. Can there be too much financial leverage in a firm? Why or why not? Which portion of the WACC calculation is impacted by taxes? How can a company reduce its cost of capital? How is WACC used in financial planning to optimize capital structure?

Strategic Financing Decisions - Cost of Retained Earnings

Schweser Satellites Inc. produces satellites earth stations that sell for $ 100,000 each. The firm's fixed costs. F, are $2 million; 50 earth stations are produced and sold each year; profits total $ 500,000; and the firm's assets (all equity financed) are $5 million. The firm estimates that it can change its production process,

Health Care Organizations and Bankruptcy

The following discussion leads to 3 questions below, each requiring no more than a 50-100 word response. Use the attached material to help answer the questions. Many believe that modern capital structure theory began when Professors Modigliani and Miller (better known as the first M&M) published their 1958 paper, "The Cost of

Organizational Behavior Issues

I AM HAVING DIFFICULTY UNDERSTANDING THIS. CAN YOU PROVIDE THIS TO ME IN SIMPLE TERMS? BUSINESS IS A WHOLE DIFFERENT ANIMAL TO ME. What would a problem of Organizational Behavior issues Be Exactly? Example? What would be the relevant facts and circumstances related to the problem and how the culture of of an organiza

The Nature of Work Motivation

From the motivational theories of Expectancy and Equity, why might the United Airways employees have NOT seemed to care. The main factor is they have gone through downsizing, salary cuts, etc.

Work Motivation - Procedural Justice Theory

A procedural justice theory: A process theory about work motivation that focuses on employees' perception of the fairness of the procedures used to make decisions about the distribution of outcomes What are the implications of transferring top users of sick leave to less busy firehouse companies from a procedural justice per

Weighted Average Cost of Capital Case Study

Please see attached problem... Prepare responses to the questions posed by the "What's on the Web?" exercises 12.1, 12.2 (in 12.2 you can find the beta for Dell by going to the web site under Stock Price History), 12.3 (for simplicity assume that the company's long-term debt consists of $200 million in long

Financial statement

Calculate and complete the boxes noted with "?". Make a recommendation of one of the two options. Why do you believe the selected option is preferred over the other? Would their be additional information that you might with to have to support your decision? If so, what? Which alternative carries a higher risk. Review colle

General Questions on How Captital Markets Work

I need to produce something about the general theory of how capital markets work. To explain how capital markets work, I would like to provide definitions and practical examples of the concepts of adaptive expectations, rational expectations, optimal forecast, random walk, and mean reversion. Assumption - The historical

United States v. WRW Corporation: prepare an analysis of the case

Can there be a case analysis provided for the case below. United States v. WRW Corporation 986 F.2d 138 (1983) United States Court of Appeals, Sixth Circuit PECK, Circuit Judge In 1985, civil penalties totaling $90,350 were assessed against WRW Corporation (WRW), a Kentucky corporation, for serious vio

Business Finance

This problem belongs to Financial Management Theory and practice 11e by Eugene F. Brigham, Chapter 14. ---- JAS Corporation has a December 31, 2005 balance sheet as given below. All amounts shown are in $ millions: Cash $ 10 Accounts payable $ 15 Accounts re

Economic Balance Sheet of Harley Davidson

Using the GAAP balance sheet, for each item, determine where it should be classified in the economic balance sheet (i.e., core operations, nonoperating net assets, debt claims, other capital claims, or equity claims). Create a two-column table in Word to show the corresponding accounts. Determine whether any other items shoul

Debt-equity comparisons considering WACC, corporate tax, leverage, cost of debt

The book I am using is Fundamental of Corporate Finance, 4e a) Why is debt a comparatively cheaper form of finance than equity? b) If debt is cheaper than equity, why do companies approach the equity markets? c) How can one minimize WACC when there is a constraint on raising debt? if so, how? d) What are the effects of a c

Accounting Theory

I am having difficulty with Accounting Theories....could you provide me with some assistance with this problem? --- 1. Determine the income under each of the following equity theories: o Proprietary theory. o Entity theory (orthodox view) o Entity theory (unorthodox view) o Residual theory 2. Would any of your answer

general description of the theory, current examples

Beta of course measures the systematic risk of a given portfolio. I would; however, like additional feedback regarding a general description of this theory, current examples of the theory, and the way in which the theory impacts the business decisions of either the domestic or global financial manager so that I may garner a grea

Risk assessment analysis

Scenario: You are a financial analyst in the finance division of Strident Marks, a manufacturing company that has recently gone through the initial public offering (IPO) process and has become a public company. Strident Marks has annual sales revenue of approximately $50 million and makes seven unique and distinct products (wh

Theories for Raising New Capital

How do companies decide in practice which route to follow in raising capital? The decision is complex and related to a company's balance sheet, market conditions, outstanding obligations and a host of other factors. Discuss the various factors and theories one should keep in mind while taking these decisions.

Long-Term residual Dividend Policy

Wells Manufacturing, Inc. has projected its investment opportunities over a 5-year planning horizon. The cost of each year's investment and the amount of internal funds available for reinvestment for that year follow. The firm's debt-equity mix is 40 percent debt and 60 percent equity. There are currently 125,000 shares of commo