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Due to a big hole in the State Budget due to Covid - 1 9 , the State of California decided it needs to lighten
Due to a big hole in the State Budget due to Covid the State of California decided it needs to lighten its financial load and raise some cash by selling off some of its assets. It is considering a secret plan to raise cash by selling CSUSM. Yep, sell the whole school, the whole shebang would be on sale as a package the school, name & brand, students tuition, all the buildings, land, vehicles, parking fees, team sports, even that cougar mascot whatever its name is everything.
Part A: As a business major hey it's a paying job the Governor has hired you to consider and report back on how much it could get for the sale in terms of its value, and the pros and cons of the financial factors affecting the possible price. NOT pros and cons of the sale, he's not asking for whether you think it is good or bad to sell schools or whatever, and if you tell him those things, it will just annoy your client Governor since he didn't hire you for that other stuff. Pros and cons of each of the FINANCIAL FACTORS and valuation techniquestools possibly affecting the sale price. AND, also, what you recommend as the offer price and why based on such financial valuation considerations Remember too, you are assisting the SELLER
Part B: One urgent and separate factor, Pepperdine Univ has come up with a bid to buy CSUSM. They are now offering the Governor a "take it or leave it offer for $ million to buy CSUSM. BUT they want to divide that million into equal payments over years so a bit more than $ million in principal each year The Governor wants to know is that offer worth considering at all good deal or is Pepperdine trying to lowball the Governor
You can look up stuff on the internet etc., but bottom line, remember, this is FIN not Accounting or Philosophy or whatever. If you write about those other things, that may sound nice, but doesn't get any points from this class. Use the tools from OUR class to score points for OUR exam.
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