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The CEO created an alternative choice of obtaining the HC Business and maximizing the debt to the Pacific Grove’s balance sheet. The financial debt and equity levels of Pacific Grove and HC Business are combined, away from which the utmost personal debt amount is calculated by including the fifty% of the entire fairness on equally of the organization’s harmony sheets. The most debt degree is calculated as $24. 584 million around (See Appendix seven).

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LO4: Analyse economic and governance worries in Health care organisations and formulate solutions for conquering these issues.

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