Answered Essay: Joseph and Erica, husband and wife, jointly own all of the stock in Velvet Corporation. The two are currently involved

Joseph and Erica, husband and wife, jointly own all of the stock in Velvet Corporation. The two are currently involved in divorce proceedings, and pursuant to those negotiations, they have agreed that only one of them will remain a shareholder in Velvet after the divorce. Because Erica has been more involved in Velvet’s management and operations over the years, the parties have agreed that Joseph’s ownership should be acquired by either Erica or Velvet.

What issues should be considered in determining whether Erica or Velvet should acquire Joseph’s shares in the corporation

Expert Answer


Solution) There are many issues need to be considered in determining this acquisition of share whether by Erica or velvet. First and foremost issue related with this is that calculation of purchase consideration. purchase consideration refers to the amount of consideration to be paid for the purchase of shares of Joseph.For determining the purchase consideration, first, there is need of determining the valuation of shares of the company. There are so many different methods for such valuation of shares. Selecting the appropriate method of valuation is need of an hour as wrong selection may lead to disputes among members. Proper settlement of purchase consideration should be there before the acquisition process starts. Another issue needs to consider is the valuation of goodwill as the companies share are being acquired by Erica or Velvet. So that the Joseph should get the proper value of his share of goodwill which he has earned by serving long tenure in the company.

Buy Essay
Calculate your paper price
Pages (550 words)
Approximate price: -

Help Me Write My Essay - Reasons:

Best Online Essay Writing Service

We strive to give our customers the best online essay writing experience. We Make sure essays are submitted on time and all the instructions are followed.

Our Writers are Experienced and Professional

Our essay writing service is founded on professional writers who are on stand by to help you any time.

Free Revision Fo all Essays

Sometimes you may require our writers to add on a point to make your essay as customised as possible, we will give you unlimited times to do this. And we will do it for free.

Timely Essay(s)

We understand the frustrations that comes with late essays and our writers are extra careful to not violate this term. Our support team is always engauging our writers to help you have your essay ahead of time.

Customised Essays &100% Confidential

Our Online writing Service has zero torelance for plagiarised papers. We have plagiarism checking tool that generate plagiarism reports just to make sure you are satisfied.

24/7 Customer Support

Our agents are ready to help you around the clock. Please feel free to reach out and enquire about anything.

Try it now!

Calculate the price of your order

Total price:

How it works?

Follow these simple steps to get your paper done

Place your order

Fill in the order form and provide all details of your assignment.

Proceed with the payment

Choose the payment system that suits you most.

Receive the final file

Once your paper is ready, we will email it to you.


Let us write that nagging essay.


Submit Your Essay/Homework Instructions

By clicking on the "PLACE ORDER" button, tell us your requires. Be precise for an accurate customised essay. You may also upload any reading materials where applicable.


Pick A & Writer

Our ordering form will provide you with a list of writers and their feedbacks. At step 2, its time select a writer. Our online agents are on stand by to help you just in case.


Editing (OUR PART)

At this stage, our editor will go through your essay and make sure your writer did meet all the instructions.


Receive your Paper

After Editing, your paper will be sent to you via email.