Problem: Partners and yourself are looking at two bussinesses, Coffee End,and Bocha Brewed, that are both for sale at the same price, both in great areas. With the financial information to compare the end of year conditions of both, noted below: Review numbers of both businesses.
1) Which one do you choose, and why? Detail the process you used to make your decision.
2) What factors should you consider before deciding which company to buy? What additional data might be helpful to you? (Note that net income is implied).
3) What questions should you ask about the methods used to record revenues and expenses?
December 31, 2003, year end balance sheets
