Question
Why might a firm choose public status over private status?
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Answer
To gain broader financing access and greater shareholder liquidity.
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Question
What is corporate governance designed to accomplish in a corporation?
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Answer
Align stakeholder interests to maximize long-term firm value.
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Question
Why do high capital requirements make a business model riskier?
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Answer
They require more capex or working capital.
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Question
How is the cash conversion cycle calculated?
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Answer
CCC=DOH+DSO−DPO
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