Recent Posts • Latest Topics • Unanswered Questions

Top Posters

Since Sunday

g

3

3

2

J

2

p

2

m

2

h

2

s

2

r

2

d

2

l

2

a

2

Which of the following is an advantage of a spin-off versus selling a subsidiary and distributing the cash?

Biraj

wrote...

Go to Answer

Posts: 481

Rep:

4 years ago

Which of the following is an advantage of a spin-off versus selling a subsidiary and distributing the cash?

Which of the following is an advantage of a spin-off versus selling a subsidiary and distributing the cash?

▸ Increases the transaction costs associated with selling the subsidiary.

▸ The spin-off is not taxed as a cash distribution.

▸ Shareholders must immediately pay capital gains taxes versus ordinary income taxes on the value of the spin-off.

▸ A spin-off guarantees a lower cost of capital.

Textbook

Fundamentals of Corporate Finance

Fundamentals of Corporate Finance

Edition: 2^nd

Authors: Berk, DeMarzo, Harford

Read 146 times

1 Reply

Replies

Answer verified by a subject expert

katiewill

wrote...

#1

Posts: 336

Rep:

4 years ago

Sign in or Sign up in seconds to unlock everything for free

More solutions for this book are available here

Related Topics

Show More

Biraj Author

wrote...

4 years ago

Thanks

Transonic

wrote...

Yesterday

You make an excellent tutor!

nadiia

wrote...

2 hours ago

Just got PERFECT on my quiz

Explore

Post your homework questions and get free online help from our incredible volunteers

1042 People Browsing

128 Signed Up Today

Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook

Live Chat

AJAX Chat © blueimp.net Integrated with SMF

Related Images

789

707

19

Your Opinion

Previous poll results: Who will win the 2024 president election?

Courses by Biology Forums

Strange Ingredients Lurking in Doritos Chips

The Toxic Skin and Fungi Defense

Bonobos, Chimpanzees, and the 98% DNA Link

It's sore throat season, why does my mucus have red spots?

Ready to ask a question on Biology Forums? Try it out

Join Our Community

Biology Forums - Study Force is a free online homework help service catered towards college and high school students. Get homework help and answers to your toughest questions in biology, chemistry, physics, mathematics, engineering, accounting, business, humanities, and more. Master your assignments quickly with thousands of step-by-step solutions to countless textbook questions asked and answered by our members. If we don't have your question, don't worry. You can ask any homework question and get expert homework help in as little as two hours.

Our extensive online study community is made up of college and high school students, teachers, professors, parents and subject enthusiasts who contribute to our vast collection of study resources: textbook solutions, study guides, practice tests, practice problems, lecture notes, equation sheets and more. With our help, your homework will never be the same!

Join for free today

How is Biology Forums - Study Force different than tutoring?

Home Search Q & A Board Gallery Resource Library Blog Dictionary Chat	Quick Links Start a Topic Latest Topics Unanswered Questions Courses Study Tools Browse by Textbook	Social Facebook YouTube Community Stats Who's Online Trending Staff	Help About Us Take the Tour Study Tips Posting Guidelines Terms and Policies Contact Us
Biology Forums - Study Force © 2010-2024 \| Powered by SMF \| SMF © 2015, Simple Machines \| Sitemap Biology-Forums.com is not affiliated with any publisher. Book covers, title and author names appear for reference only.