1. What are the 3 commonly used definitions of purchase price in the negotiation phase, and how are they related to one another.
What are other assumed liabilities?
2. Suppose the returns on a small stock are normally distributed. The historical average return is 18 percent, and the standard deviation is 6 percent. What is the probability that your return on this stock will be no less than 12 percent in a given year? What range of returns would you expect to see 95 percent of the time? What range would you expect to see 99 percent of the time?