ost of secured​ short-term credit​) The Marlow Sales and Distribution Co. needs ​$ for the​ 3-month period ending September​ 30, 2015. The firm has explored two possible sources of credit. a. Marlow has arranged with its bank for a ​$ loan secured by its accounts receivable. The bank has agreed to advance Marlow percent of the value of its pledged receivables at a rate of percent plus a percent fee based on all receivables pledged.​ Marlow's receivables average a total of​ $1 million​ year-round. b. An insurance company has agreed to lend the ​$ at a rate of percent per​ annum, using a loan secured by​ Marlow's inventory of salad oil. A​ field-warehouse agreement would be​ used, which would cost Marlow ​$ a month.

Garrett is an executive vice president at samm hardware. he researches a proposal by a larger company, maximum hardware, to combine the two companies. by analyzing past performance, conducting focus groups, and interviewing maximum employees, garrett concludes that maximum has poor profit margins, sells shoddy merchandise, and treats customers poorly. what actions should garrett and samm hardware take? a. turn down the acquisition offer and prepare to resist a hostile takeover. b. attempt a friendly merger and use managerial hubris to improve results at maximum. c. welcome the acquisition and use knowledge transfer to impart sam hardware's management practices. d. do nothing; the two companies cannot combine without samm hardware's explicit consent.