Question : 20-6.If a firm wishes to achieve immediate appreciation in earnings : 1553925
20-6.If a firm wishes to achieve immediate appreciation in earnings per share as a result of a merger, how can this be best accomplished in terms of exchange variables? What is a possible drawback to this approach in terms of long-range considerations?
20-7.It is possible for the postmerger P/E ratio to move in a direction opposite to that of the immediate postmerger earnings per share. Explain why this could happen.
20-8.How is goodwill now treated in a merger?
20-9.Suggest some ways in which firms have tried to avoid being part of a target takeover.