Your response to question e should take a paragraph. Essentially, you are drawing together your analysis of the previous questions into a summary statement. However, also include any additional factors that may not have specifically addressed. Note that it is possible that one company may be better run than the other overall, but it is also possible that one may be superior in some categories and inferior in others.

Your answer should present a coherent statement in the opening sentence and then expand on and defend your position by referencing specific performance data for support. Merger Synergies If there was an acquisition, which company is the most likely acquirer?

Why? Would you recommend a merger or acquisition to increase the moat strength of the combined companies?

Why or why not? If you support a merger or acquisition, identify 3 performance metrics a merger could improve that and explain how they would improve.

I find guidance for this on pages 101-110 of The CFO Guidebook. If you do not support a merger or acquisition, explain your rationale and why the value of each company is best preserved/increased by remaining separate. I find the guidance for this on pages 111-117 of The CFO Guidebook.

As you craft your response for the second part of the paper, pay attention to what is being asked in question a versus question b. The question a requires you to identify the most likely acquirer and then to explain your rationale. Even if you are arguing against a merger in your response to question b, you must still answer the questions based on the premise: If there was an acquisition...

Your answer should take one fairly robust paragraph of 5 to 6 sentences. You may also want to include a set of sub-bullets if you are listing several reasons Company INTEL CORP Information Technology (Intel) would be the most likely acquirer of Company ADVANCED MICRO DEVICES INC Information Technology (AMD). The bullets will help the reader easily see the different reasons you are using to defend your position. In responding to question b, you are presenting your recommendation for or against bringing the two companies together. Begin your response with a coherent statement of your position. Take note that I specifically focus the question on Moat Strength, so it is a good idea to briefly review your findings from Assignment 1. Include two or three additional sentences to support your position. Then, answer one of the sub-bulleted questions, as explained in the bullets below: Answer the first one if you are arguing for a merger/acquisition. Clearly explain what the combined company could do better (i.e., faster, cheaper, more efficient, etc.) it must base your answer on real data from your analysis of their current performance, AND it must include specific reference to the course materials. Answer the second one if you are arguing against a merger/acquisition. Clearly state your position and rationale. You must explain why the challenges of a merger outweigh the benefits, and why a merger would not create synergies leading to a higher valuation for the combined company, as compared to what could achieve by operating them independently. As above, your response must include specific references to course materials to support your position.