A merger is defined as the combination of two or more firms, in which the resulting...
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A merger is defined as the combination of two or more firms, in which the resulting firm maintains the identity of one of the firms, usually the larger one. Discuss the motives of Merger? (5: Marks) b) Payback period is the time in which the initial cost of an investment is expected to be recovered through the cash inflows generated by the investment. Briefly discuss the pros and cons of payback period? (5: Marks) C) One major difference in perspective and emphasis between finance and accounting is that accountants generally use the accrual method while in finance; the focus is on cash flows. Briefly discuss the differences between accrual method and cash method? A merger is defined as the combination of two or more firms, in which the resulting firm maintains the identity of one of the firms, usually the larger one. Discuss the motives of Merger? (5: Marks) b) Payback period is the time in which the initial cost of an investment is expected to be recovered through the cash inflows generated by the investment. Briefly discuss the pros and cons of payback period? (5: Marks) C) One major difference in perspective and emphasis between finance and accounting is that accountants generally use the accrual method while in finance; the focus is on cash flows. Briefly discuss the differences between accrual method and cash method?
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a Motives of Merger 1 Synergy Merging firms can achieve synergies by combining their resources capabilities and market presence Synergy can result in cost savings improved operational efficiencies inc... View the full answer
Related Book For
Smith and Roberson Business Law
ISBN: 978-0538473637
15th Edition
Authors: Richard A. Mann, Barry S. Roberts
Posted Date:
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