A s s e t   V a l u a t i o n   M o d e l s   f o r   M e r g e r s   a n d   A c q u i s i t i o n s  W h y   m a y   a   l o n g - r u n   v i e w   o f   t h e   m e r g e d   f i r m ’ s   e a r n i n g s   p e r   s h a r e  c h a n g e   a   m e r g e r   d e c i s i o n ? W h a t   r o l e   d o   i n v e s t m e n t   b a n k e r s   o f t e n   p l a y   i n   t h e   m e r g e r   n e g o t i a t i o n   p r o c e s s ? C a p i t a l   S t r u c t u r e :   B o n d   V a l u a t i o n W h a t   b a s i c   p r o c e d u r e   i s   u s e d   t o   v a l u e   a  b o n d   t h a t  p a y s   a n n u a l   i n t e r e s t ?   S e m i a n n u a l   i n t e r e s t ?

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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A s s e t   V a l u a t i o n   M o d e l s   f o r   M e r g e r s   a n d   A c q u i s i t i o n s 

  1. W h y   m a y   a   l o n g - r u n   v i e w   o f   t h e   m e r g e d   f i r m ’ s   e a r n i n g s   p e r   s h a r e  c h a n g e   a   m e r g e r   d e c i s i o n ?
  2. W h a t   r o l e   d o   i n v e s t m e n t   b a n k e r s   o f t e n   p l a y   i n   t h e   m e r g e r   n e g o t i a t i o n   p r o c e s s ?

C a p i t a l   S t r u c t u r e :   B o n d   V a l u a t i o n

  1. W h a t   b a s i c   p r o c e d u r e   i s   u s e d   t o   v a l u e   a  b o n d   t h a t  p a y s   a n n u a l   i n t e r e s t ?   S e m i a n n u a l   i n t e r e s t ?
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