Overview
You are the CFO of your organization and you will be deciding between three choices of consolidation. This assignment will ask you to select a choice that best supports the short and long-term goals of the common stock of a company compared to two choices with minority interests. All three choices represent control and significant influence over the subsidiary. In the below scenario, you are tasked with integrating the merger between two companies. You will select two companies from the same industry on the NASDAQ stock exchange. One will be the parent company while the other will be the subsidiary.
Scenario
You have three choices, any of which you believe that the board of directors will support:
Choice 1: Your company acquires 80% percent of the common stock of the target company with a minority interest of 20%.
Choice 2: Your company acquires 70% percent of the common stock of the target company with a minority interest of 30%.
Choice 3: Your company acquires 100% percent of the common stock of the target company.
Instructions
Write a 4–5 page paper in which you:
Assume the role of the CFO who has been tasked with integrating the merger between the two companies. Introduce these two NASDAQ companies, explaining pertinent background information.
Explain the manner in which the acquisition fits into your company’s operational and strategic directions.
Select two choices provided in the scenario and compare the key accounting requirements for each of the selected choices.
One of the selected choices will be presented to the CEO and Board of Directors. The BOD will ask which method will provide substantial company growth in the next three years. Explain why your choice is the best forward-facing company goal for the company.
Identify and explain at least three possible strengths, business threats, and ways to mitigate those threats as a result of the proposed acquisition choice made.
Use at least two quality sources to support your writing. Choose sources that are credible, relevant, and appropriate. Cite each source listed on your source page at least one time within your assignment. For help with research, writing, and citation, access the library or review library guides.
Produce writing that is clear, well-organized, and applies appropriate SWS style. Writing contains accurate grammar, mechanics, and spelling.
Do you need a similar assignment done for you from scratch? We have qualified writers to help you. We assure you an A quality paper that is free from plagiarism. Order now for an Amazing Discount! Use Discount Code “Newclient” for a 15% Discount!NB: We do not resell papers. Upon ordering, we do an original paper exclusively for you.
Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.
You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.
Read moreEach paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.
Read moreThanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.
Read moreYour email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.
Read moreBy sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.
Read more