Q‐Dots Incorporated is a nanotechnology firm that claims to be the original inventor and developer of quantum dots—a technology that has far‐reaching applications in fields ranging from electronic consumer products to scientific discovery. The majority owner of Q‐Dots is a scientist at heart, and wants to completely remove herself from the commercial side of her work. She has received a buy‐out offer from her management team on which she has requested your firm's advice. Drawing on your knowledge of performance measurement and assurance, you will prepare a memo that analyzes how your firm will respond to her request.

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