As far as the managerial talent of the target is concerned: the managerial talent will affect the estimated cash flows to be generated by the None of the answers are correct. Both of the answers are correct. downsizing always reduces expenses and increase productivity and revenues. As far as the managerial talent of the target is concerned: the managerial talent will affect the estimated cash flows to be generated by the None of the answers are correct. Both of the answers are correct. downsizing always reduces expenses and increase productivity and revenues