Case studie:
yell plc is a telephone directory company who are looking to grow their business by buying more equipment and taking over a rival. the company currently have £4.5 million in retained profit but in two years’ time should have an extra £1 million. yell plc operates in a competitive market. they currently have 1 year to pay off their existing loan which they’re paying back in 12 equal instalments with interest. yell plc hope to their shareholders by paying a significant dividend.
question:
1. yell plc wants to grow its business and need to raise money to pay for more equipment and the £5millon needed to complete a takeover. recommend if they should use retained profit or issue more shares (9 marks)

Christopher kim, cfa, is a banker with batts brothers, an investment banking firm. kim follows the energy industry and has frequent contact with industry executives. kim is contacted by the ceo of a large oil and gas corporation who wants batts brothers to underwrite a secondary offering of the company's stock. the ceo offers kim the opportunity to fly on his private jet to his ranch in texas for an exotic game hunting expedition if kim's firm can complete the underwriting within 90 days. according to cfa institute standards of conduct, kim: a) may accept the offer as long as he discloses the offer to batts brothers.b) may not accept the offer because it is considered lavish entertainment.c) must obtain written consent from batts brothers before accepting the offer.

Suppose a holiday inn hotel has annual fixed costs applicable to its rooms of $1.2 million for its 300-room hotel, average daily room rents of $50, and average variable costs of $10 for each room rented. it operates 365 days per year. the amount of operating income on rooms, assuming an occupancy* rate of 80% for the year, that will be generated for the entire year is *occupancy = % of rooms rented

Provide an example of open-ended credit account that caroline has. caroline blue's credit report worksheet.