How does the presence of an indirect ownership (such as a father-son grandson relationship) affect the mechanical aspects of the consolidation process?

Q: Which are the Methods of Title Assurance?

A: The methods of title assurance are as follows: Title covenants Title opinion based on public record…

Q: How should a prospective buyer examine the assets of a company? Explai

A: Answer: Assets of the company is examined such that to identify the financial position of the…

Q: why does fair value seeking for an acquisition?

A: Reasonable worth is a term with a few implications in the monetary world. In contributing, it…

Q: What is the meaning behind cost of acquisition? Please explain and provide an example.

A: By tracking the cost of acquisition, businesses can assess the profitability of their marketing…

Q: what is IPO underpricing? How do asymmetric information model explain this phenomena?Briefly explain

A: When an IPO( initial public offering )  is set at a price lower than its real market value. So, when…

Q: what are elements of a unsuccessful merger deal and why?

A: Merger is a concept where two entities merge together to form 1 entity for conducting future…

Q: can appraisal rights be denied? can a shareholder ask for legal actions if his/her appraisal right…

A: Appraisal rights refer to the right of a dissenting shareholder in the case of a merger or…

Q: Explain how differing assumptions about capitalization rate , reversion value, and highest and best…

A: Property is referred as an item, where the business or person used to have the legal title over.…

Q: How is goodwill now treated in a merger?

A: Goodwill forms a part of assets of the entity and is considered an intangible asset.

Q: What is goodwill, and what are the unique aspects of accounting

A: Goodwill is intangible, intrinsic to the company and cannot be sold separately from the business as…

Q: How are acquisition costs recorded in a merger?

A: Acquisition costs: These are the costs incurred in the process of acquisition.

Q: What is the role of Strategic Rationale in Merger & Acquisition

A: Mergers involve merging two or more companies in to a single legal entity. Acquisition refers…

Q: What ownership pattern is referred to as mutual ownership? Describe briefly or illustrate with a…

A: When two businesses in a business combination own an equity interest in each other, this is known as…

Q: How do you determine the basis of acquired property in a like-kind exchange?  Give an example

A: Exchange of like-kind business/investment real property - The gain or loss on exchange of kind" real…

Q: How can the separate entity concept benefit the owner and the business

A: Separate entity concept: It refers to the practice of Recording separately the transactions of the…

Q: What are some reasons for the current merger wave?

A: Merger wave can be defined as the sequence of time period where the probability of occurring mergers…