Marty Kimble, who retired many years ago after winning a huge lottery jackpot, wants to start a new company that will sell authentic sports memorabilia. He plans to name the company Pro Athlete Remembrances, or PAR for short. MarIty is still in the planning stages, so he has a few questions about how PAR should be organized when he starts the business and what he should do if the company becomes very successful in the future. Marty has little knowledge of finance concepts. To answer his questions and learn more about finance in general, Mr. Kimble has hired Sunshine Business Consultants (SBC). Assume that you are a new employee of SBC and your boss has asked you to answer the following questions for Mr. Kimble. Questions

What is finance?

Why is the finance function important to the success of a business?

What are the alternative forms of business organization? What are the advantages and disadvantages of each?

Assume that PAR is organized as a proprietorship when it starts business. If PAR becomes extremely successful and grows substantially, would you recommend that Mr. Kimble change the business organization to either a partnership or a corporation?

Explain your answer. What goal should Mr. Kimble pursue when operating PAR?

Mr. Kimble would like PAR to grow to eventually go international. Why do firms go global