Bearkat Electric Autos is located near a beautiful lake. A rare striped unicorn was seen at the edge of the lake on Bearkat Electric Auto's property. You own 10,000 shares of Bearkat Electric Auto's stock. This is a $100,000 investment for you. Bearkat Electric Autos is under a lot of pressure from environmentalists to donate a large part of their property to the conservationists so that they can make a safe haven for striped unicorns. But the conservationists have no money and they want Bearkat Electric Autos to do this as a gift. The property is currently valued at $15 million. It will mean that Bearkat Electric Autos has to buy some new property on the other side of the lake and it will make Bearkat Electric Autos lose money this year and potentially next year. Do you think Bearkat Electric Autos should make this donation? Why or why not? Please explain your decision.

Answer rating: 100% (QA)

Some considerations that Bearkat Electric Autos and its shareholders might take into account when deciding whether to make the donation 1 Social and E... View the full answer