Mastering M&A Valuation

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Which term represents the price paid for the seller's Net Assets?

Offer Price per Share

Purchase Enterprise Value

Transaction Value

Purchase Equity Value (correct)

Which term represents the price paid for just the seller's Net Operating Assets?

Purchase Equity Value

Transaction Value

Offer Price per Share

Purchase Enterprise Value (correct)

Which value is closest to the 'true price' in an M&A deal?

Offer Price per Share

Purchase Enterprise Value (correct)

Purchase Equity Value

Transaction Value

Which metric is not necessarily the most relevant for financial modeling purposes in acquisitions of public companies?

True Price Signup and view all the answers

Which option is the most common outcome when the buyer has to deal with the seller's Debt?

Refinance the Debt Signup and view all the answers

What happens to the effective acquisition price when the buyer repays the seller's Debt in full?

The price increases Signup and view all the answers

What happens to the effective acquisition price when the buyer receives the seller's Cash in an acquisition of a public company?

The price decreases Signup and view all the answers

Which value is often the more relevant driver in a merger model?

Purchase Equity Value Signup and view all the answers

What does the Combined Interest Income represent in a merger model?

Buyer's Interest Income + Seller's Interest Income Signup and view all the answers

What does the Combined Interest Expense represent in a merger model?

Buyer's Interest Expense + Seller's Interest Expense Signup and view all the answers

What does the Purchase Equity Value result in changes on?

Combined Income Statement Signup and view all the answers

Mastering M&A Valuation

Podcast Beta

Questions and Answers

Which term represents the price paid for the seller's Net Assets?

Which term represents the price paid for just the seller's Net Operating Assets?

Which value is closest to the 'true price' in an M&A deal?

Which metric is not necessarily the most relevant for financial modeling purposes in acquisitions of public companies?

Which option is the most common outcome when the buyer has to deal with the seller's Debt?

What happens to the effective acquisition price when the buyer repays the seller's Debt in full?

What happens to the effective acquisition price when the buyer receives the seller's Cash in an acquisition of a public company?

Which value is often the more relevant driver in a merger model?

What does the Combined Interest Income represent in a merger model?

What does the Combined Interest Expense represent in a merger model?

What does the Purchase Equity Value result in changes on?

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Mastering M&amp;A Valuation

Podcast Beta

Questions and Answers

Which term represents the price paid for the seller's Net Assets?

Which term represents the price paid for just the seller's Net Operating Assets?

Which value is closest to the 'true price' in an M&A deal?

Which metric is not necessarily the most relevant for financial modeling purposes in acquisitions of public companies?

Which option is the most common outcome when the buyer has to deal with the seller's Debt?

What happens to the effective acquisition price when the buyer repays the seller's Debt in full?

What happens to the effective acquisition price when the buyer receives the seller's Cash in an acquisition of a public company?

Which value is often the more relevant driver in a merger model?

What does the Combined Interest Income represent in a merger model?

What does the Combined Interest Expense represent in a merger model?

What does the Purchase Equity Value result in changes on?

More Like This

The New Deal Flashcards

The New Deal in U.S. History

Pharaohly Big Deal - Chapter 4 Quiz

Stage 4 Chapter 5: A Pharaohly Big Deal

Mastering M&A Valuation