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Question 13 10 points Sa Company A acquires Company B using a cash bid Pre-acquisition value of Company A is 10 million and pre-acquisition
Question 13 10 points Sa Company A acquires Company B using a cash bid Pre-acquisition value of Company A is 10 million and pre-acquisition value of Company Bes 65 million Both companies have a cost o capital of 10%. The number of issued shares in A is 250,000 and there are 100,000 issued shares in B The following benefits are expected from the merger Disposal of surplus promises immediately for proceeds of 300,000 Decrease in head office costs starting in one year. There will be a permanent annual saving of 30,000 arming from this Which of the folowing will be the post-acquesition value per share of the combined group? O 40.00 O 64.40 01:52 44.40
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Financial Statement Analysis
Authors: K. R. Subramanyam, John Wild
11th edition
78110963, 978-0078110962
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