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Business, 23.09.2019 04:30 kennakenken3

Case studie:
yell plc is a telephone directory company who are looking to grow their business by buying more equipment and taking over a rival. the company currently have £4.5 million in retained profit but in two years’ time should have an extra £1 million. yell plc operates in a competitive market. they currently have 1 year to pay off their existing loan which they’re paying back in 12 equal instalments with interest. yell plc hope to their shareholders by paying a significant dividend.
question:
1. yell plc wants to grow its business and need to raise money to pay for more equipment and the £5millon needed to complete a takeover. recommend if they should use retained profit or issue more shares (9 marks)

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Answers: 2

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yell plc is a telephone directory company who are looking to grow their business...

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