Business Studies, asked by mudasir9001, 8 days ago

Chief Burger needs money for expansion and the owner told you to go for equity financing.
After a complete due diligence you advise him to for debt financing but the owner is strongly
opposing your advice. Being the financial manager, how you will satisfy him to go for debt
financing. Briefly present your idea why you are giving him advice of debt financing. What are
the drawbacks of equity financing for Chief Burger.
Chief Burger issued a bond with face value 1000 and interest rate at 16% semiannually with a 20
year maturity, find out the coupon amount.

Answers

Answered by architasamantaray
0

Answer:

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Explanation:

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Answered by XxRonakxX
2

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Explanation:

As a seller of a commercial or residential property, there are many things to consider as you go through the sales process and review of offers on the property In some cases, those offers could contain proposals from buyers that are asking for seller financing – i.e. for the seller to convey title but carry a portion of the purchase price after the sale.

Before accepting a proposal like this, it is imperative to do your due diligence and fully understand why the potential buyer is unable to obtain traditional financing. The seller should conduct the same or similar due diligence as a traditional lender. Completing a full background check of the buyer, confirming adequate title insurance and necessary endorsements, confirming certificates of property insurance, confirming leases, rents, and security deposits, and ensuring that you have adequate security in the future and having the proper terms is critical to making sure seller financing makes sense for you and the property you are selling.

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