7. Control premium and synergies are two of the most important reasons for why an acquiring company is willing to pay more for a company than it is currently being valued in the marketplace. Define these two concepts (control premium and synergies) and then explain the rationale as to why this translates into higher valuation. (5 points) 8. Many acquisitions fall short of expectations in terms of ultimate value. Identify five reasons why this is the case. (5 points) 9. In a discounted cash flow analysis, there are two distinct time periods. First there is the projection period and then there is the Terminal Value. Define Terminal value and distinguish between using Gordon Growth method and the Exit Multiples method. (5 points) 7. Control premium and synergies are two of the most important reasons for why an acquiring company is willing to pay more for a company than it is currently being valued in the marketplace. Define these two concepts (control premium and synergies) and then explain the rationale as to why this translates into higher valuation. (5 points) 8. Many acquisitions fall short of expectations in terms of ultimate value. Identify five reasons why this is the case. (5 points) 9. In a discounted cash flow analysis, there are two distinct time periods. First there is the projection period and then there is the Terminal Value. Define Terminal value and distinguish between using Gordon Growth method and the Exit Multiples method. (5 points)