Question: QID Ch 2 6 Q No . 3 1 When evaluating an acquisition you should: concentrate on book values and ignore market values. focus on

QID Ch 26 Q No.31When evaluating an acquisition you should:
concentrate on book values and ignore market values.
focus on the total cash flows of the merged firm but ignore incremental cash flows.
apply the rate of return that is relevant to the incremental cash flows.
ignore any one-time acquisition fees or transaction costs.
ignore any potential changes in management.
QID Ch 2 6 Q No . 3 1 When evaluating an

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