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Hamouda propared the following information for the board meeting: The curent market value of Swethan Brickstone LLC, is AED6.3 milion, The current market value of

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Hamouda propared the following information for the board meeting: The curent market value of Swethan Brickstone LLC, is AED6.3 milion, The current market value of Al His Contruction Lid. is AED20 mition. The appropriate discount rate for the increntental cash flows is 7.5%. The owners of AJ Hais Contruction Lad. are trying to decide whether to offer 35% of at atock or AED11.5 milion in eses to Swehan Dndksisne LLC. Leth assume nolher firm has debt. imagine yourself to be Eingineer Hamouda and you ware to hep N Whaqi family to decise tow to proceed ty answerirg the fotoeieg questions (each quesson is worth 2 marea) a. Calculate the synoroy from the mergert b. Calculate the value of Jweithan Brickstone LLC. to A Hit Contruction Lit.? c. Calculale the cost to A Hili Contruction Lid of each altemative? d. Calculase the NPV to A Ha Contryoton Lid, of each allematve? e. Finally, based on the above caloulations, which allemalive would you recommend AI Wagf tamly io use? Hamouda propared the following information for the board meeting: The curent market value of Swethan Brickstone LLC, is AED6.3 milion, The current market value of Al His Contruction Lid. is AED20 mition. The appropriate discount rate for the increntental cash flows is 7.5%. The owners of AJ Hais Contruction Lad. are trying to decide whether to offer 35% of at atock or AED11.5 milion in eses to Swehan Dndksisne LLC. Leth assume nolher firm has debt. imagine yourself to be Eingineer Hamouda and you ware to hep N Whaqi family to decise tow to proceed ty answerirg the fotoeieg questions (each quesson is worth 2 marea) a. Calculate the synoroy from the mergert b. Calculate the value of Jweithan Brickstone LLC. to A Hit Contruction Lit.? c. Calculale the cost to A Hili Contruction Lid of each altemative? d. Calculase the NPV to A Ha Contryoton Lid, of each allematve? e. Finally, based on the above caloulations, which allemalive would you recommend AI Wagf tamly io use

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