The question 4(a)?what is the difference between the sale of supermarket as going concern and sell the market seperately?
And wjy the extra cash generated from the sale is $99m,rather than using the balance of the sale of supermarket after repaid the debt,which is $29.07m(511.07-482)?
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december of 2013 (past year paper)
8y ago#1If it is sold as a going-concern then the customers already exist and the purchaser will immediately have sales.
If the assets are sold separately, then the purchasers will then have to build up customers before they start making profits.
The balance after repayment of debt is 581 - 482 = 99M
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