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1. A company has capital of $200 million. It has an EROIC of 9%, forecasted constant growth of 5%, and a WACC of 10%. What
1. A company has capital of $200 million. It has an EROIC of 9%, forecasted constant growth of 5%, and a WACC of 10%. What is its value of operations? What is its intrinsic MVA? 2. Gate Corp. acquired all of Way Corps assets in a Type C reorganization of August 7, 2010. On the date of acquisition, Way Corp. had an unused net capital loss of $80,000. Gate Corp. had a net gain (computed without regard to any capital loss carryover) of $20,000 for calendar-year 2010. What amount of the acquired net capital loss of $80,000 can be used to offset Gate Corps net capital gain for 2010? 3. Define and differentiate a spin-off, split-off, and split-up
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