1. Synergy values are the additional values that companies realize through a merger and acquisition. Synergy values can take three forms. Generally speaking, the most significant and common form of synergy is:

Select one:

a. Lower expenses and cost

b. Longer growth period

c. Higher growth rate

d. Higher Cost of Capital

2. APV equals the sum of the base-case NPV(financed solely by equity) and_________________

Select one:

a. PV of interest

b. PV of interest tax shield

c. NPV of taxes

d. PV of taxes and interest