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Exhibit 10.7
The information below is used for the following questions.
An investor wants to classify companies as being a High Risk Investment, Group 1, a Medium Risk Investment, Group 2, or a Low Risk Investment, Group 3. He has gathered Liquidity, Profitability data on 18 companies he has invested in and produced the following spreadsheet. The following Discriminant Analysis output using Analytic Solver Platform has also been generated.
-Refer to Exhibit 10.7. What formulas should go in cells C22:D24 of the spreadsheet?
Operations
The day-to-day activities required for a business to function, encompassing everything from production to customer service.
Articles of Partnership
A document that outlines the terms and conditions of a partnership, including the responsibilities, profit distribution, and decision-making processes among partners.
Annual Salary
The total amount of money an employee is scheduled to earn over the course of a year, excluding bonuses or overtime.
Capital Balance
The amount of money that a company has in its accounts, representing the difference between total assets and liabilities.
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