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QUESTION TWO a) Focusing on the Comparable Analysis to evaluate a Target Company in a M&A deal, explain what are the main Return on investment

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QUESTION TWO a) Focusing on the Comparable Analysis to evaluate a Target Company in a M&A deal, explain what are the main "Return on investment" ratios that an investment bank can use in the analysis and discuss their meaning. Please, provide numerical examples to support your explanation. [30 marks] 1 b) Explain why, in a M&A deal, the choice of consideration affects the Earnings Per Share (EPS) of the combined firm. Please, provide a numerical example to support your explanation. [20 marks) [TOTAL: 50 MARKS

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