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Question
In determining the purchase price for an acquisition target, which one of the following valuation methods does not require the addition of a purchase price premium?
a. Discounted cash flow method
b. Comparable companies method
c. Comparable industries method
d. Recent transactions method
e. A & B only
Answer
This answer is hidden. It contains 1 characters.
Related questions
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True or False
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Q:
Which of the following is not typically true of post-closing evaluation of an acquisition?
a. It is important not to change the performance benchmarks against which the acquisition is measured
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.