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Question
If cash flows are in terms of local currency and the U.S. Treasury bond rate is used to estimate the risk free rate, the analyst should add the expected inflation rate in the local country relative to that in the U.S. to convert the U.S. Treasury bond rate to a local country nominal rate. True or False
Answer
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Related questions
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Management may sell assets to fund diversification opportunities? True or False
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True or False
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Which of the following is not typically true of post-closing evaluation of an acquisition?
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b. It is critical to ask the tough questions
c. It is an opportunity to learn from mistakes
d. It is commonly done
e. It is frequently avoided by acquiring firms because of the potential for embarrassment.