You purchase a machine for $X and secure a 5 yr contract where that machine produces parts
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Question:
You purchase a machine for "$X" and secure a 5 yr contract where that machine produces parts (say plastic handles). One year later, you sell your company for 10 times the original cost of the machine.
Describe why the purchaser would be willing to pay this high multiple of machine cost at this time.
Related Book For
Modern Advanced Accounting In Canada
ISBN: 9781259066481
7th Edition
Authors: Hilton Murray, Herauf Darrell
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