Ask Question
BusinessBusiness
27 October, 19:50

Which of the following best describes a leveraged buyout fund's acquisitions? a. Investing in early stage businesses b. Investing in mid-sized businessesc. Investing in foreign businesses

+1
Answers (1)
  1. 27 October, 23:49
    0
    The best describes a leveraged buyout fund's acquisitions is Investing in mid-sized businesses.

    Explanation:

    A leveraged buy (LBO) is a takeover of another company which is spending a substantial amount of money to offset the acquisition cost. In addition to the acquired company's assets, assets are often used as collateral for the loans.

    One of the largest LBOs reported in 2006 was Kohlberg Kravis Roberts & Co. (KKR), Bain & Co., and Merrill Lynch's takeover of Hospital Corporation of America (HCA).

    In leveraged buy-outs (LBOs), the ratio of debt to equity is usually 90% to 10%.
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Which of the following best describes a leveraged buyout fund's acquisitions? a. Investing in early stage businesses b. Investing in ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
The first group of customers to enter the market for a new product are called: a. the late majority. b. laggards. c. passive shoppers. d. innovators. in. the early majority.
Answers (1)
Joanna received $60,000 compensation from her employer, the value of her stock in ABC company appreciated by $5,000 during the year (but she did not sell any of the stock), she received $30,000 of life insurance proceeds from the death of her
Answers (1)
Which of the following statements about M1 and M2 is true? Group of answer choices Savings deposits are part of M2. Demand deposits are not part of M1. M1 is larger than M2. M2 is more liquid than M1.
Answers (1)
Westside Textiles decides to sell $881,650 of its accounts receivable to Cheyenne Inc. Cheyenne assesses a service charge of 3% of the amount of receivables sold. Required: a.
Answers (1)
Taxes on the property Buyer Alan is purchasing are $3,200 due on December 31. If the closing is set for October 15, using the 365-day method, how much of the taxes will be credited to the buyer? A) The seller's share of $2,533.
Answers (1)
New Questions in Business
Is there anything that you find particularly impressive about southwest airlines?
Answers (1)
All of the following are true of the effect of fair value accounting on the financial statements except a. changes in the fair value of trading securities are recognized on the income statement b.
Answers (1)
Are morality & ethics the same thing?
Answers (1)
Canliss Mining Company borrowed money from a local bank. The note the company signed requires five annual installment payments of $10,000 not due for three years. The interest rate on the note is 7%.
Answers (1)
John recently accepted a job in the marketing department with the burbank bagel boys. after just a few days on the job, john learned that the company has many layers of management, and seems to have a rule to cover almost every situation.
Answers (1)
Home » Business » Which of the following best describes a leveraged buyout fund's acquisitions? a. Investing in early stage businesses b. Investing in mid-sized businessesc. Investing in foreign businesses
Sign Up Forgot Password?