User Account

All Pages

What is the announcement day abnormal return

Assignment Help Accounting Basics
Reference no: EM133031510

Question - On May 5, 2020, Alexion Pharmaceuticals announced its acquisition of Portola Pharmaceuticals for $1.4 billion. On the same day, Alexion, Portola, and the S&P 500 index closed at $98.25, $17.85, and 2,868.44, respectively. Closing prices on May 4, 2020 were $103.84 for Alexion, $7.76 for Portola, and 2,842.74 for the S&P 500 index. What is the announcement day abnormal return for Alexion if its beta is 1.48?

Reference no: EM133031510

Questions Cloud

What is the net present value of this project : Perot Corporation is developing a new CPU chip based on a new type of technology. What is the net present value of this project
What is meant by business casual : Dress. What is meant by "business casual" or "corporate casual". How should you dress for interviews?
Role of quality manager : Demonstrate your ability to practically apply your knowledge of quality assurance and quality control tools - in particular,‘flow charts' and ‘checklists'
How can network effects influence the fate of a technology : How can network effects (NE) influence the fate of a technology? Discuss potential positive AND negative influences of NE providing specific examples.
What is the announcement day abnormal return : Closing prices on May 4, 2020 were $103.84 for Alexion, $7.76 for Portola, and 2,842.74 for the S&P 500 index. What is the announcement day abnormal return
What is the principal business model of amazon : What is the principal business model of Amazon (How does Amazon make most of its profits?)
Describe business model : Go to the Fortune 500 list and choose a company, describe its business model by answering the following questions:
Limitations of the triple bottom line theory : What are the strengths and limitations of the triple bottom line theory when reviewing it from the lens of corporate social responsibility?
What is the initial acquisition cost of the bond investment : The carrying amount of the investment on December 31, 2020 using the effective interest method is 5,333,620. What is the initial acquisition cost of the bond

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd