Question: When forecasting or budgeting for a possible future M&A, there could be a huge difference in terms of the assets book value (historical cost) and

When forecasting or budgeting for a possible future M&A, there could be a huge difference in terms of the assets book value (historical cost) and market value (fair value). How would you perceive a company that has assets valued at $100,000 in net book value and $500,000 in fair value?

a. Unhealthy and not viable to be taken over

b. Healthy and viable to be taken over with the necessary due diligence in place

c. Neutral

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