What is the value of firm a after the acquisition

Assignment Help Financial Management
Reference no: EM131539839

Firm A is acquiring Firm B for $40,000 in cash. Firm A has a current market value of $66,000 while Firm B’s current market value is $38,000. The synergy value from the acquisition is $2,500. What is the value of Firm A after the acquisition? a. $108,500 b. $68,500 c. $45,000 d. $66,500 e. $106,500

Reference no: EM131539839

Questions Cloud

The market values of firm : The market values of Firm V and Firm A are $1,800 and $600, respectively. What would be the NPV of this acquisition to Firm V?
New investment instruments from existing funds in the market : DolaDola Investment specializes in creating new investment instruments from existing funds in the market.
How much would operating income increase over budget : Razorback Company's 2011 master budget included the following fixed budget report. It is based on an expected production and sales volume of 10,000 units.
What do we learn about the culture that produced the text : How does the source lend depth to our understanding of the period? What ideas does it reflect? What do we learn about the culture that produced this text?
What is the value of firm a after the acquisition : The synergy value from the acquisition is $2,500. What is the value of Firm A after the acquisition?
Systems development lifecycle : Generate one diagram that you would use in an executive meeting to show your IT acquisition steps using the Systems Development Lifecycle (SDLC).
Discuss types of distribution transparency as they benefit : Discuss the types of distribution transparency as they may benefit to various business contexts.
Determine the annual cost of purchasing the new technology : Michelin is considering going ‘‘lights-out’’ in the mixing area of the business that operates 24/7. Determine the annual cost of purchasing the new technology:
Quantitative and qualitative analysis of patient records : Go to the lab manual's companion Web site and print one deficiency form for each patient record to be analyzed

Reviews

Write a Review

Financial Management Questions & Answers

  Foreign company acquisition

Acquisition by a foreign company and the effects of that decision and the results of foreign exchange in Euro and the exchange rate differences.

  Financial management for profit and non profit organizations

In this essay, we are going to discuss the issues of financial management in a non-profit organisation.

  Method for estimating a venture''s value

Evaluate venture's present value, cash and surplus cash and basic venture capital.

  Replacement analysis

This document show the Replacement Analysis of modling machine. Is replacement give profit to company or not?

  Business finance task - capital budgeting

Your company is considering using the payback period for capital-budgeting. Discuss the advantages and disadvantages of this technique.

  Analysis of the investment

In this project, you will focus on one of these: the additional cost resulting from the purchase of an apple press (a piece of equipment required to manufacture apple juice).

  Conduct a what-if analysis

Review the readings and media for this unit, including the Anthony's Orchard case study media. Familiarise yourself with the Anthony's Orchard company and its current situation.

  Determine operational expenditures

Organisations' behaviour is guided by financial data. In the short term, such data will help determine operational expenditures; in the long term, historical data may help generate forecasts aimed at determining strategic plans. In both instances.

  Personal financial management

How much will you have left over each half year if you adopt the latter course of action?

  Sources of finance for expansion into new foreign markets

A quoted company is considering several long-term sources of finance for expansion into new foreign markets.

  Long term financial planning

This assignment is designed for analyze Long term financial planning begins with the sales forecast and the key input in the long term fincial planning.

  Explain the role of fincial manager

This assignment explain the role of fincial manager, function of manger. And what are the motives of financial manager.

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!

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