Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Adam Plc has acquired Bertil Co for 2,500.0. The acquisition is 100% financed with equity. Expected S&GA synergies are 75.0 each year, and applicable tax

image text in transcribed
Adam Plc has acquired Bertil Co for 2,500.0. The acquisition is 100% financed with equity. Expected S&GA synergies are 75.0 each year, and applicable tax rate is 28.0%. Using information below calculate the proforma Net Income for the combo. Adam Plc Bertil Co Sales 1,500.0 1,000.0 EBITDA 260.0 150.0 EBIT 220.0 100.0 Net income 130.0 50.0 Select one: 180.0 255.0 234.0 75.0

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Capital Markets Institutions And Instruments

Authors: Frank J. Fabozzi, Franco Modigliani

4th Edition

0136026028, 9780136026020

More Books

Students also viewed these Finance questions

Question

How did the APB pave the way for the FASB?

Answered: 1 week ago