3. Another underlying assumption is that the value of the whole enterprise is simply the sum of its parts-this is the concept of value additively. We can dofine "parts" as either the business segments (on the loft-hand side of the balance sheet) or the layers of the capital structure (on the right-hand side of the balance sheet]. Market values have to balance. MV ratalech = (/MVTelecommunication Servicos + MV Products+ Systems) = [MVdec + MVequity) If those equalities did not hold, then a raider could come along and exploit the inequality by buying or selling the whole and the parts. This is arbitrage. By buying and selling, the actions of the raider would drive the MVs back into balance