1. Julio and Isabel run a small import-export firm in Laredo. Explain how different goals for their lives and careers affect their exit strategy. Does the kind of product or service a business provides affect exit strategy? If so, explain how, and if not, explain why not.
2. Suppose that the first cash flow of a venture is expected in Year 4, and expected to be $4,184,118. Cash flows will grow at a rate of 9% after that. Find the present value of the venture in dollars (at Year 0) assuming a discount rate of 20%.