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Please, provide answer with detailed calculation, i.e. excel file if needed and bullet point answers. Please provide explanation and not just 'yes'/'no' answer. All answers must be backed with quantitative parts.

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  1. Is $16 per share a fair price for Pinkerton to receive for its common stock?
  2. How expensive is the Berkeley subordinated debt?
  3. Assume that the January 1990 IPO refinancing does not take place. Can Pinkerton service its existing debt and stay within the debt covenants? If permitted by MHTC, could Pinkerton pay dividends so that Wathen could solve his financial problems?
  4. In view of your analysis of the questions above, what is your recommendation regarding the IPO? As management? As the principal shareholder?

Attachment:- Pinkerton B clean.pdf

Financial Accounting, Accounting

  • Category:- Financial Accounting
  • Reference No.:- M91423374
  • Price:- $20

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