Hagers Home Repair Company, a regional hardware chain that specializes in do it yourself materials and equipment
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Hager’s Home Repair Company, a regional hardware chain that specializes in “do it yourself”
materials and equipment rentals, is cash rich because of several consecutive good years. One of the alternative uses for the excess funds is an acquisition. Doug Zona, Hager’s treasurer and your boss, has been asked to place a value on a potential target, Lyons Lighting (LL), a chain that operates in several adjacent states, and he has enlisted your help.
The table below indicates Zona’s estimates of LL’s earnings potential if it came under Hager’s management (in millions of dollars). The interest expense listed here includes the interest resource
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Related Book For
Financial Management Theory And Practice
ISBN: 9781439078105
13th Edition
Authors: Eugene F. Brigham, Michael C. Ehrhardt
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