The key starting point for any decision to exit or harvest a firm is
A)establishing the valuation of the firm.
B)devising plans for turnaround.
C)filing for Chapter 7 bankruptcy.
D)reaching a resolution with creditors to accept an amount less than the full payment.

Question

Quizplus · Accepted Answer

Establishing the valuation of the firm is important before making any decisions about exiting or harvesting, as it will determine the potential return on investment and inform negotiations with potential buyers or investors. Devise plans for turnaround, filing for bankruptcy, and reaching a resolution with creditors are all potential actions that may be taken after the decision to exit or harvest has been made.

The Key Starting Point for Any Decision to Exit or Harvest