Capital Projects New Acquisition
Not what you're looking for?
Find one new acquisition that ExxonMobil needs as a new possible investment item, what problems are you going to have in estimating the cash flow that might be emanating from the initial investment and problems in getting it funded? Issues might be:
? Risk
? Cost
? Politics (getting it through committees)
? Public Relations
? etc.,
Purchase this Solution
Solution Summary
Capital projects new acquisition is examined.
Solution Preview
Dear Student,
Thank you for using BM.
Below are my answers.
ANSWERS
One new acquisition that ExxonMobil Corporation needs as a new possible investment item is the technology to produce or transport energy by harnessing the power of waves. However, there are several challenges I will be facing in estimating the cash flows from this investment. Several of these issues are:
1. Cost. The total costs of the investment in wave power might be very difficult to estimate. Though several companies have already put up waver wave devices, the information to estimate how much the upkeep of such devices is are difficult to obtain. Moreover, since the technology is new, it is highly probable that ExxonMobil will make periodic investments in addition to the company's initial cash outlay just to maintain and ...
Purchase this Solution
Free BrainMass Quizzes
Learning Lean
This quiz will help you understand the basic concepts of Lean.
Team Development Strategies
This quiz will assess your knowledge of team-building processes, learning styles, and leadership methods. Team development is essential to creating and maintaining high performing teams.
Understanding Management
This quiz will help you understand the dimensions of employee diversity as well as how to manage a culturally diverse workforce.
Production and cost theory
Understanding production and cost phenomena will permit firms to make wise decisions concerning output volume.
Social Media: Pinterest
This quiz introduces basic concepts of Pinterest social media