Ship Financing Case Study

Payback method is another method which is most popular among the firms. Payback method ignores time value of money which is considered a major flaw. It considers the length of time it takes to recover money and ignores cash received after the recovery period. Notwithstanding the above two serious flaws, the payback method is easy and simple to understand. Another reason is that more often a team of experts is set up to see whether a project is worth pursuing or not.

These spend plans are not enforced in any way and therefore have little oversight for accuracy and compliance. A standardized, enforceable version would ensure compliance and transparency. A reportable, accurate, and complete spend plan would eliminate the need for spend down because the units will have properly planned for their anticipated needs and submit their dollar amounts

Starting off with the advantages of no-fault insurance, in essence, one of the major advantage is the peace of mind, the driver involved does not need to be anxious or worry about anything since the insurer will take care of the claim himself/herself . The policyholder involved can leave it up to his insurance company because the policy will make up for everything; injuries and even loss earnings, no matter who is at fault during the collision. Therefore, in other words, the insured who is not at fault need not to worry about suing the other negligent

As for Emily already her goods took too long to be delivered, litigation could consume way more time and could create a problem for her. Also she spent enough money on ordering the goods; litigation might cost her a lot more than she spent on ordering the goods. And as with private judging, usually the wealthier parties can afford the cost, maybe she would fail to afford. (vivianholley.com, accessed 11th November, 2015) Arbitration is preferred in resolution of commercial disputes because of the following benefits: Parties can gain the services of an expert in the specific commercial field. In this case, when the subject matter of the dispute is highly technical, arbitrators with an appropriate degree of expertise can be appointed (as one cannot “choose the judge” in litigation).

Barriers of Entry – Low The risk of entry from potential competitors is low, due to the barriers of entry. The barriers of entry are high, traceable to the cost of starting the business and what it costs to remain successful. Perdue also has a cost advantage over potential new entrants that is credited to superior production operations. Perdue has control of their inputs required for production, such as labor, materials, equipment, or management

Although invented scheme seems to be extraordinary difficult to understand, in fact, it is quite simple. On the one hand, all deals with the electricity conducted through subsidiaries, allowed to ‘inflate’ costs and, accordingly, - the selling price of electricity at the end. On the other hand, offshore companies process debts of the corporation, that it does not want to publish. In offshore the company dumped not profit, but losses. This statement arises question - why?

This means that the limited partners have no management authority, and (unless they obligate themselves by a separate contract such as a guaranty) are not liable for the debts of the partnership. The limited partnership provides the limited partners a return on their investment (similar to a dividend), the nature and extent of which is usually defined in the partnership agreement. General Partners thus bear more economic risk than do limited partners, and in cases of financial loss, the GPs will be the ones which are personally liable.Limited partners are subject to the same alter-ego piercing theories as corporate shareholders. However, it is more difficult to pierce the limited partnership veil because limited partnerships do not have many formalities to maintain. So long as the partnership and the members do not co-mingle funds, it would be difficult to pierce the veil.

Furthermore, group risk coverage is less comprehensive than individual cover. This may result in employees taking out additional insurance to protect themselves, in the event of these uninsured outcomes occurring (Clark, 2012). Some employees, not wishing to pay two premiums for coverage, may opt to pay for full coverage from an external insurer rather than for group risk coverage. Group risk coverage is a popular insurance vehicle as it provides cover for employees and their dependents at a lower premium than under an individual insurance plan. However, the advantages of group risk cover are best displayed in large companies, while small companies often cannot afford this cover.

So yah the wealthy who are willing to spend some extra money have an advantage over people who don’t have as much money. So we need to change how courts deal with the defender. To do this we have to have private attorneys cost as much as public defenders and after the case they can pay off the defender in a certain amount of time so they don’t go to jail for that after the court

4) Bargaining Power of Port User: The bargaining power and control over port management exercised by carriers, shippers, and tenants in varying degrees are also important forces shaping the competitive landscape of port reform. This is determined by various factors, which are outlined below. a) Concentration of Port User Power: The larger percentage of traffic in the port controlled by a user, the more is bargaining power that user has in negotiations with port management and service providers. In certain situations, the port user can be so powerful that the port literally can’t afford to lose its business. b) Impact of Changing Business Relationships: Business agreements and realignments among port users can result in powerful players which port managers and port service providers must contend with in contract negotiations.