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This information will help Bernard Lester determine if this joint venture will be profitable in the future before he commits to the deal.
Capital budgeting is the process of determining what long-term assets a firm should be investing in for the future (Ross & Jaffe, 2004).
Accounting /Financial Statements
Bernard Lester, CEO of Lester Electronics, Inc., emails John Lin, CEO of Shang-wa Electronics, and requests Shang-wa’s recent financial statements. This information will help Bernard Lester determine if the joint venture manufacturing facility the two have discussed will be profitable in the future before he commits to the deal...
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