This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Which of the following is an advantage of a spin-off versus selling a subsidiary and distributing the cash? (Read 199 times)

tfester

  • Hero Member
  • *****
  • Posts: 534
on: Jul 9, 2019
Which of the following is an advantage of a spin-off versus selling a subsidiary and distributing the cash?
◦ Increases the transaction costs associated with selling the subsidiary.
◦ The spin-off is not taxed as a cash distribution.
◦ Shareholders must immediately pay capital gains taxes versus ordinary income taxes on the value of the spin-off.
◦ A spin-off guarantees a lower cost of capital.
Fundamentals of Corporate Finance ¦ Berk, DeMarzo, Harford ¦ 2nd Edition
Buy Test-Bank


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by tfester on Jul 9, 2019

momo1250

  • Sr. Member
  • ****
  • Posts: 338
Reply #1 on: Jul 9, 2019
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 39% of students answer this correctly


tfester

  • Member
  • Posts: 534
Reply 2 on: Jul 9, 2019
YES! Correct, THANKS for helping me on my review

amcvicar

  • Member
  • Posts: 341
Reply 3 on: Yesterday
Wow, this really help

« previous next »
 

Did you know?

Recent studies have shown that the number of medication errors increases in relation to the number of orders that are verified per pharmacist, per work shift.

Did you know?

The average person is easily confused by the terms pharmaceutics and pharmacology, thinking they are one and the same. Whereas pharmaceutics is the science of preparing and dispensing drugs (otherwise known as the science of pharmacy), pharmacology is the study of medications.

Did you know?

Pink eye is a term that refers to conjunctivitis, which is inflammation of the thin, clear membrane (conjunctiva) over the white part of the eye (sclera). It may be triggered by a virus, bacteria, or foreign body in the eye. Antibiotic eye drops alleviate bacterial conjunctivitis, and antihistamine allergy pills or eye drops help control allergic conjunctivitis symptoms.

Did you know?

According to the American College of Allergy, Asthma & Immunology, more than 50 million Americans have some kind of food allergy. Food allergies affect between 4 and 6% of children, and 4% of adults, according to the CDC. The most common food allergies include shellfish, peanuts, walnuts, fish, eggs, milk, and soy.

Did you know?

Approximately 15–25% of recognized pregnancies end in miscarriage. However, many miscarriages often occur before a woman even knows she is pregnant.

Body temperature and environmental temperature in homeotherms versus heterotherms. Body temperature and environmental temperature in homeotherms versus heterotherms.
Lac versus trp operon Lac versus trp operon
Aldose versus ketose Aldose versus ketose
Linked versus unlinked genes Linked versus unlinked genes
The “where” versus “what” and the “control of behavior” versus “conscious ... The “where” versus “what” and the “control of behavior” versus “conscious ...
Content of genomic versus cDNA libraries Content of genomic versus cDNA libraries
Video: Immune responses Animation

For a complete list of videos, visit our video library