Question 2a
Marking Guide
benefit of due diligence | |
up to 2 marks for each benefit discussed for a maximum of three benefits: | |
– identification of assets and liabilities | |
– valuation of assets and liabilities | |
– review of operational issues | |
– examination of financial position and performance | |
– added credibility and expertise | |
– added value for negotiation of purchase price | |
– other advice can be given, e.g. on obtaining finance | |
maximum marks | 6 |