Assume that firm x acquires firm y by paying cash for all


Assume that Firm X acquires Firm Y by paying cash for all the shares outstanding at a merger premium of $6 per share. Assuming that neither firm has any debt before or after the merger, create the postmerger balance sheet for Firm X assuming the use of purchase accounting.

1979_postmerger balance sheet.PNG

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Finance Basics: Assume that firm x acquires firm y by paying cash for all
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