Acquiring Company buys Target Company for $5million in cash. As an analyst, you are given the premerger
Question:
Transcribed Image Text:
Premerger Balance Sheets for Companies ($ million) Acquiring Company Target Company Current Assets 800,000 1500,000 2,300,000 600,000 1,200,000 1,800,000 500,000 1,300,000 1,800,000 Plant and Equipment Total Assets Long-Term Debt Shareholders' Equity Shareholders' EquityTotal Liabilities 2,000,000 2300,000
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 50% (8 reviews)
The combined companies shareholders equity plus total liabilities is 7100000 and the change between ...View the full answer
Answered By
Nazrin Ziad
I am a post graduate in Zoology with specialization in Entomology.I also have a Bachelor degree in Education.I posess more than 10 years of teaching as well as tutoring experience.I have done a project on histopathological analysis on alcohol treated liver of Albino Mice.
I can deal with every field under Biology from basic to advanced level.I can also guide you for your project works related to biological subjects other than tutoring.You can also seek my help for cracking competitive exams with biology as one of the subjects.
3.30+
2+ Reviews
10+ Question Solved
Related Book For
Mergers Acquisition And Other Restructuring Activities
ISBN: 9780123854858
6th Edition
Authors: Donald M. Depamphilis
Question Posted:
Students also viewed these Corporate Finance questions
-
In connection with an audit you are given the following work sheet: Checks Drawn but Not Paid by Bank No. Amount 573 ......... $ 267.27 724 ......... 39.92 903 ......... 454.67 907 ......... 291.80...
-
You are given the following information concerning a stock denoted by St (1) Current value =102. (2) Annual volatility = 30%. (3) You are also given the spot rate r = 50%, which is known to constant...
-
You are given the following information concerning four stocks: a) Using 20X0 as the base year, construct three aggregate measures of the market that simulate the Dow Jones Industrial Average, the...
-
Each of the following passages may be plausibly criticized by some who conclude that it contains a fallacy, but each may be defended by some who deny that the argument is fallacious. Discuss the...
-
Although most cruise-line passengers are from the United States, the average number of annual vacation days taken by U.S. residents is lower than that of workers in most other high-income countries...
-
Consider a house at sea level that has 2000 square feet of floor area. Show that the total force that the air inside the house exerts upward on the ceiling is 4.2 10 6 lb.
-
The average time that Americans commute to work is 27.7 minutes (Sterlings Best Places). The average commute times in minutes for 48 cities follows. a. What is the mean commute time for these 48...
-
Sulfur dioxide and butadienes (B3 and B2) are to be stripped with nitrogen from the liquid stream as shown in Figure so that butadiene sulfone (BS) product will contain less than 0.05 mol% SO2 and...
-
Head-First Company plans to sell 5,120 bicycle helmets at $74 each in the coming year. Unit variable cost is $45 (includes direct materials, direct labor, variable factory overhead, and variable...
-
Order the numbers (1.1) 2 , (1.4) 10 , and (1.5) 16 from smallest to largest.
-
Target Company has incurred $5 million in losses during the past three years. Acquiring Company anticipates pretax earnings of $3 million in each of the next three years. What is the difference...
-
1. Why do you believe that Teva chose to acquire the outstanding stock of Barr rather than selected assets? Explain your answer. 2. Mergers of businesses with operations in many countries must seek...
-
If the $3,900 cost of a new microcomputer and printer purchased for office use were recorded as a debit to Purchases, what would be the effect of the error on the balance sheet and income statement...
-
Stackhouse Inc. recently made a loan payment, when the company records the transaction in a tabular analysis, it would include a [ Select ] in the [ Select ] account (i.e. column) and a [ Select ] in...
-
Identify the statement that describes the new "social contract" in the 1950s. Click or tap a choice to answer the question. Unions gained control over capital investments and plant locations, while...
-
To assist in the timely submission of claims, the HIM department has the following focus with the exception of: Obtain control of the chart Code the chart as quickly as possible Allow providers to...
-
The monthly high and low levels of direct labor hours and total manufacturing overhead costs for Onyx Company are as shown: Level Direct Labor Hours Manufacturing Overhead Costs Highest observed...
-
6) Draw a timing diagram for x1, x2, x3, and f, for the circuit shown in the figure. x2 x3 x D D f
-
Which of the following is the best general advice about touch in the workplace? a. Touch is a complex subject best left to individual interpretation. b. Avoid touching anyone under any circumstances....
-
we have to compute the letter grades for a course. The data is a collection of student records stored in a file. Each record consists of a name(up to 20 characters), ID (8 characters), the scores of...
-
Outline a procedure for identifying the type of financial formula for a given applied problem.
-
An industrial park is being planned for a tract of land near the river. To prevent flood damage to the industrial buildings that will be built on this low-lying land, an earthen embankment can be...
-
Should the following project be undertaken if its life is 10 years and it has no salvage value ? The firm uses an interest rate of 12% to evaluate engineering projects. First Cost Net Revenue...
-
A robot has just been installed at a cost of $81,000. It will have no salvage value at the end of its useful life. Given the following estimates and probabilities for the yearly savings and useful...
-
1. How does marketing create value, and how do firms become more value driven? 2. Describe a firm's stakeholders and how they are impacted by conscious marketing.
-
Beginning inventory 100 units @ $8.00 = $ 800 Purchase # 1 200 units @ $6.00 = 1,200 Purchase # 2 100 units @ $12.00 = 1,200 Total 400 units $3,200 Ending inventory is 150 units. 1. What is cost of...
-
Sam's Ice Creams, a cottage country favourite in Northern Ontario, has launched a new range of ice creams branded as "Summer Flavours." To capitalize on the cottage and tourism season from May to...
Study smarter with the SolutionInn App