Ezbiz, the brainchild of three college friends, is a startup venture that plans to produce and market sports gear. the venture is still stuck in the planning phase as they have not been able to decide the suitable business strategy to opt for they are currently trying to decide between a bricks-and-clicks strategy and a click-only strategy. which of the following, if true, would most undermine the decision to adopt a click-only strategy?
a) the company has limited access to funds and is looking to keep its costs low. b) the public is wary of sharing confidential information after a recent spate of credit card scandals. c) a competitor is facing severe backlash after inadvertently releasing sensitive data into the public domain. d) several companies who have switched from a brick-and-mortar strategy to a click-only strategy are experiencing severe channel conflicts. e) some click-only companies have been unable to achieve economies of scale and are subsequently unable to offer lower prices.

Why do you think the compensation plans differ at the two firms? in particular, why do you think kaufmann’s pays commissions to salespeople, while parkleigh does not? why does parkleigh offer employees discounts on purchases, while kaufmann’s does not?

Suppose you win a small lottery and have the choice of two ways to be paid: you can accept the money in a lump sum or in a series of payments over time. if you pick the lump sum, you get $2,950 today. if you pick payments over time, you get three payments: $1,000 today, $1,000 1 year from today, and $1,000 2 years from today. 1) at an interest rate of 6% per year, the winner would be better off accepting the (lump sum / payments over time), since it has the greater present value. 2) at an interest rate of 9% per year, the winner would be better off accepting the (lump sum / payments over time), since it has the greater present value. 3) years after you win the lottery, a friend in another country calls to ask your advice. by wild coincidence, she has just won another lottery with the same payout schemes. she must make a quick decision about whether to collect her money under the lump sum or the payments over time. what is the best advice to give your friend? a) the lump sum is always better. b) the payments over time are always better. c) it will depend on the interest rate; advise her to get a calculator. d) none of these answers is good advice.

Roberto and reagan are both 25 percent owner/managers for bright light inc. roberto runs the retail store in sacramento, ca, and reagan runs the retail store in san francisco, ca. bright light inc. generated a $125,000 profit companywide made up of a $75,000 profit from the sacramento store, a ($25,000) loss from the san francisco store, and a combined $75,000 profit from the remaining stores. if bright light inc. is an s corporation, how much income will be allocated to roberto?