Berkshire Hathaway Inc. is considering a business expansion to the gambling industry by acquiring a casino which generates $20 million free cash flow per year indefinitely. The risk-free rate of return is 5% and the market risk premium, over and above the risk-free rate, is 10%. Berkshire estimates that the beta of the casino is 1.2, and plans to maintain the debt-equity ratio of the casino to be one. Berkshire has recently issued bonds which pay an annual coupon of 4% and have a yield to maturity of 5%. Berkshire faces a 40% tax rate. What is the maximum price Berkshire would pay for the casino in order for the acquisition to be acceptable? a. $200.0 million
b. $150.0 million
c. $181.8 million
d. $400.0 million
e. $117.6 million

in 2001, dell computer became the world’s largest personal computer vendor, continuing to

gain market share and post profits in an industry struggling with slumping sales and billions of

dollars in losses. dell sells 90% of its pcs directly to the final customer, largely bypassing the

reseller channel that accounts for most of the world’s pc sales. this direct customer relationship

is the key to dell’s business model, and provides distinct advantages over the indirect sales

model. dell’s direct relationship with the customer allows it to tailor its offerings to customer

needs, offer add-on products and services, and use the internet to offer a variety of customer

services. in addition, dell’s pcs are built to customers’ specifications upon receipt of an order,

giving dell additional advantages over indirect pc vendors who must try to forecast demand and

ship products based on those forecasts. dell’s direct sales and build-to-order model has achieved

superior performance in the pc industry in terms of inventory turnover, reduced overhead, cash

conversion, and return on investment (kraemer, et al., 2000).

explanation:

so i don't know what video you're talking about, but here's some stuff steve jobs gave as advice.

- love what you do.

- the worst thing that could happen might turn out to be the best thing that could happen.

- follow your heart and trust it knows where it's going.

answer production department;