Selecting a Business Location Instructions: Purpose of Assignment Successful small business owners look to others for counsel on important business decisions. In this assignment you will work with your in-class counsel (learning team) to come up with ideas, calculate risks, and contemplate opportunities related to choosing a location for your business operations. Your company is thinking about purchasing a small, successful business. You have two choices: Small Business A or Small Business B. The purchase price of each business is $250,000 (and you cannot spend more than that, so acquiring both is not an option). Review the following data: Small Business A: Revenue = $100,000 in year one, increasing by 10% each year. Expenses = $20,000 in year one, increasing by 15% each year. Depreciation Expense = $5,000 each year. Tax Rate = 25% Discount Rate = 10% Small Business B: Revenue = $150,000 in year one, increasing by 8% each year. Expenses = $60,000 in year one, increasing by 10% each year Depreciation Expense = $10,000 each year Tax Rate = 25% Discount Rate = 11% Assignment Steps Identify the key factors to be considered when it comes to choosing a business location. Analyze how models such as Reilly’s Law of retail gravitation can affect understanding the competition and financial success. Create a team presentation of 25 slides in total with appropriate references in which you outline the key factors you used to select a business location. Explain why the choice of location can make or break a business, and analyze how capital budgeting impacts location in both the short and long run. Click the Assignment Files tab to submit your presentation. Note: For presentations, you may use any presentation software of your choice. SupportingMaterial:Understanding Capital BudgetingResource: Designing an InfographicResource: Office SwaySelecting a Business Location Grading Guide
Previous answers to this question
This is a preview of an assignment submitted on our website by a student. If you need help with this question or any assignment help, click on the order button below and get started. We guarantee authentic, quality, 100% plagiarism free work or your money back.
Get The Answer