a. Why can a merger create the appearance of earnings growth? b. Why is diversification by itself
Question:
a. Why can a merger create the appearance of earnings growth?
b. Why is diversification by itself not a good reason for a merger?
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a A merger can create the appearance of earnings growth for several reasons Synergy realization When two companies merge they may combine their operations eliminate duplicative costs and streamline th...View the full answer
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Related Book For 
Fundamentals Of Corporate Finance
ISBN: 9780072553079
6th Edition
Authors: Stephen A. Ross, Randolph Westerfield, Bradford D. Jordan
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