In Establishing a Price for a Management Buyout the Entrepreneur

question 9

True/False

In establishing a price for a management buyout the entrepreneur should not include the goodwill value established from past revenue because it can't be quantified.

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Definitions:

Abraham Maslow

An American psychologist best known for creating Maslow's hierarchy of needs, a theory of psychological health predicated on fulfilling innate human needs in priority, culminating in self-actualization.

Physical Needs

Basic bodily requirements including food, water, shelter, and sleep necessary for survival.

Self-Actualization

The realization or fulfillment of one's talents and potentialities, considered as a drive or need present in everyone.

Hospice

An institution or program in which terminally ill patients receive palliative care to reduce suffering; family and friends of the dying are helped as well.