List several fixed and variable costs associated with owning and operating an automobile. Suppose you are considering whether to drive your car or fly 1,500 miles to Florida over spring break. Which costs, fixed or variable, would you take into account in making your decision? Would any implicit costs be relevant? Explain in depth using numbers where available. Note, I do not care whether you would always fly or always drive, but I want you to use the tools learned in this chapter to analyze the costs.

What is private equity investing? who participates in it and why? how is palamon positioned in the industry? how does private equity investing compare with public market investing? what are the similarities and differences between the two? why is palamon interested in teamsystem? does it fit with palamon’s investment strategy? how much is 51% of teamsystem’s common equity worth? use both a discounted cash flow and a multiple-based valuation to justify your recommendation. what complexities do cross-border deals introduce? what are the specific risks of this deal? what should louis elson recommend to his partners? is it a go or not? if it is a go, what nonprice terms are important? if it’s not a go, what counterproposal would you make?