Excellence in Business Communication (11th Edition)
Excellence in Business Communication (11th Edition)
11th Edition
ISBN: 9780133544176
Author: John V. Thill, Courtland L. Bovee
Publisher: PEARSON
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Chapter 10, Problem 11LOC
Summary Introduction

Introduction:

Anticipating potential objections that might arise when planning the persuasive speech is a good thing because then the writer could re-write the points to counter argue the objections. This will also create a flow and lessen the chances of the writer missing out on points.

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Wilson Corporation acquires Greatbatch Company for $80 million cash in a merger. The balance sheets of both companies at the date of acquisition are as follows: Balance Sheet (in millions) Wilson Greatbatch Current assets $96 $8 Property and equipment 800 144 Intangibles 32 4.8 Total assets $928 $156.8 Current liabilities $40 $3.2 Long-term debt 640 104 Capital stock 80 19.2 Retained earnings 192 24 Accumulated other comprehensive income (loss) (24) 6.4 Total liabilities and equity $928 $156.8 Greatbatch's property and equipment is overvalued by $48 million, its reported intangibles are undervalued by $32 million, and it has unreported intangibles, in the form of customer databases and marketing agreements, valued at $11.2 million. Required Prepare Wilson's balance sheet immediately following the merger. Use a negative sign with your answer for AOCI if the balance is a loss.
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