Question: 1. Why is it often more difficult to value privately owned companies than publicly traded firms? Give specific examples. 2. Why is it important to

1. Why is it often more difficult to value privately owned companies than publicly traded firms? Give specific examples.

2. Why is it important to restate financial statements provided to the acquirer by the target firm? Be specific.

3. How could an analyst determine if the target firms cost and revenues are understated or overstated? Give specific examples.

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