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Part 1: 25 multiple-choice questions, 4.5 points each, for total of 112.5 points. Please, circle your answer. 1. Which of the following would NOT be

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Part 1: 25 multiple-choice questions, 4.5 points each, for total of 112.5 points. Please, circle your answer. 1. Which of the following would NOT be a good reason for firms to pursue a cross-border merger or acquisition? A) gaining access to strategic proprietary assets B) increasing shareholders wealth by realizing synergies from M&A C) follow what other companies in the industry are doing D) All of the above are potential reasons for an M & A. 2. Some of the factors (with explanations) used in calculating the basic "net present value" and the "incrementalsowsof a capital project are (i) - expected terminal value or salvage value (ii) - dividend paid to the equity holders of the firm (iii) - initial investment at inception (iv) - a cash flow already paid or accrued prior to the start of the project (v) - weighted-average cost of capital (vi) - revenue erosion/cannibalism The "net present value" of a capital project is calculated by using: A. (i), (ii), and (ii) B. (ii), (iv), and (vi) C. (i), (ii), (v), and (vi) D. (i), (ii), (iv), (v), and (vi)

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