1.What are the three primary disadvantages to the sole proprietorship and partnership forms of business organization? What benefits are there to these types of business organization as opposed to the corporate form
the other questions in following pictures
Question 1. [5 marks] What are the three primary disadvantages to the sole proprietorship and partnership forms of business organization? What benets are there to these types of business organization as opposed to the corporate form? Question 2. [4 marks] Suppose you own shares in a company. The current price per share is 525. Another company has just announced that it wants to buy your company and will pay $35 per share to acquire all the outstanding shares. "four company's management immediately begins ghting off this hostile bid. ls management acting in the shareholders' best interests? Why or why not? Question 3 j? marks] Who owns a corporation? Describe the process whereby the owners control the rm's management. What is the main reason that an agency relationship exists in the corporate form of organization? In this context, what kind of problems can arise? Question 4 [12 marks} What are the major types of financial institutions in Canada? Home ii and briey explain what they each do. Question 5 [3 marks] There are 1'1 main markets that facilitate efficient moyement of money between those in a deficit cash position and those in a surplus cash position. What are these markets and who are the participants? Problems Problem 1i! marks} You have just made your first $5, contribution to your RESP. Assuming you earn an 11 percent rate of return and make no additional contributions, what will your account be worth when you retire in 45 years? What ifyou wait ten years before contributing? [Does this suggest an investment strategy?j Problem 2 {12 marks] Solve Jfor the unknown number of years in each of the following: Flint?" In: hill" III FI'III'I I'll! saw "I! 51.3% Elli] 1'0 1,321 13,411] 1? 23%?15 2L50 15 30,253 Due 5:3UFM. ursdayduly 13. 2E1? Page 1 Problem 3 [5 marks} [in February 2, 2016, an investor held some Province of Ontario stripped coupons in a self aclministered RRSP at ScotiaMcLeo-d, an investment dealer. Each coupon represented a promise to pay $100 at the maturity date on January 13, 2022, but the investor would receive nothing until then. The value of the coupon showed as $25.04 on the investor's screen. This means that the investor was giving up $25.04 on February 2, 2015, in exchange for $100 to be received just less than six yea rs later. a. Based upon the $26.04 price, what rate was the yield on the Province of Ontario bond? b. Suppose that on February 2, 201?, the security's price was $31.00. If an investor had purchased it for $25.04 a year earlier and sold it on this day, what annual rate of return would she have earned? c. If an investor had purchased the security at market on February 2, 201?, and held it until it matured, what annual rate of return would she have earned
