![subject](/tpl/images/cats/ekonomika.png)
Quisco Systems has 6.5 billion shares outstanding and a share price of $18. Quisco is considering developing a new networking product in house at a cost of $500 million. Alternatively. Quisco can acquire a firm that already has the technology for $900 million worth (at the current price) of Quisco stock. Suppose that absent the expense of the new technology. Quisco will have EPS of $0.80.
a. Suppose Quisco develops the product in house. What impact would the development cost have on Qusico's EPS? Assume all costs are incurred this year and are treated as an R &D expense. Quisco's tax rate is 35%, and the number of shares outstanding is unchanged.
b. Suppose Quisco does not develop the product in house but instead acquires the technology, . What effect would the acquisition base on Quisco's EPS this car?
c. Which method of acquiring the technology has a smaller impact on earnings? Is this method cheaper? Explain.
![ansver](/tpl/images/cats/User.png)
Answers: 2
Another question on Business
![question](/tpl/images/cats/ekonomika.png)
Business, 22.06.2019 10:30
Which maxim is being neglected in the following conversation? eli: how did you do at the track meet? caleb: i came in second place! eli: congratulations! what was your time? caleb: six minutes, four seconds. the guy who won only beat me by three seconds. eli: really? katie said the winning time was under 6 minutes. caleb: oh, well, he might have beat me by five seconds. a)maxim of quantity b)maxim of quality c)maxim of relevance d)maxim of manner
Answers: 1
![question](/tpl/images/cats/ekonomika.png)
Business, 22.06.2019 11:00
Which ranks these careers that employers are most likely to hire from the least to the greatest?
Answers: 2
![question](/tpl/images/cats/ekonomika.png)
Business, 22.06.2019 16:30
Penelope summers received certain income benefits in 2018. she received $1,400 of state unemployment insurance benefits, $2,000 from a federal unemployment trust fund and $3,700 workers’ compensation received for an occupational injury. what amount of the compensation must penelope include in her income
Answers: 1
![question](/tpl/images/cats/ekonomika.png)
Business, 22.06.2019 21:30
China white was the black market selling of ivory, in which the profit was redistributed back into the trafficking of heroin.
Answers: 3
You know the right answer?
Quisco Systems has 6.5 billion shares outstanding and a share price of $18. Quisco is considering de...
Questions
![question](/tpl/images/cats/mat.png)
![question](/tpl/images/cats/geografiya.png)
Geography, 12.07.2019 16:00
![question](/tpl/images/cats/health.png)
![question](/tpl/images/cats/obshestvoznanie.png)
![question](/tpl/images/cats/mat.png)
Mathematics, 12.07.2019 16:00
![question](/tpl/images/cats/istoriya.png)
![question](/tpl/images/cats/mat.png)
Mathematics, 12.07.2019 16:00
![question](/tpl/images/cats/fizika.png)
![question](/tpl/images/cats/en.png)
English, 12.07.2019 16:00
![question](/tpl/images/cats/mkx.png)
![question](/tpl/images/cats/en.png)
English, 12.07.2019 16:00
![question](/tpl/images/cats/mat.png)
Mathematics, 12.07.2019 16:00
![question](/tpl/images/cats/mat.png)
Mathematics, 12.07.2019 16:00
![question](/tpl/images/cats/en.png)
![question](/tpl/images/cats/mat.png)
![question](/tpl/images/cats/istoriya.png)
![question](/tpl/images/cats/istoriya.png)
History, 12.07.2019 16:00
![question](/tpl/images/cats/en.png)
English, 12.07.2019 16:00
![question](/tpl/images/cats/mat.png)