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How did we get 10,625 in preferred shares?

1 Answer

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Final answer:

The question about reaching 10,625 in preferred shares is not applicable to the provided references. The references discuss present value calculations and share distribution within a company. To change top management at The Darkroom Windowshade Company, a combination of investors with over 50% of shares needs to agree.

Step-by-step explanation:

The question 'How did we get 10,625 in preferred shares?' does not match the provided reference information. Instead, the reference material discusses the calculation of present value of profits per share and company ownership distribution. First, the present value of total profits is calculated given a 15% interest rate; then that value is divided by the number of shares to get the price per share. For example, if the present value (PDV) of total profits is $51.3 million for 200 shares, dividing the PDV by the number of shares gives 0.2565 million, equating to approximately $256,500 per share.

Regarding the minimum number of investors needed to change top management at The Darkroom Windowshade Company, given the share distribution: investor 1 with 20,000 shares, investor 2 with 18,000 shares, and so on, investors 1 and 2 holding a combined 38,000 shares could influence company decisions, especially if they vote together.

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