pixar - On January 24, 2006, Walt Disney Company announced...

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On January 24, 2006, Walt Disney Company announced its agreement to acquire Pixar. In an all stock transaction, the computer animation leader was purchased for $7.4 billion. Under the terms of the transaction, 2.3 Disney shares will be issued for each Pixar share. Disney first entered into a feature film agreement in 1991. The acquisition of Pixar comes with the hope of reviving Disney’s lagging animation department. “Net assets” is equal to a company’s assets minus its liabilities. This is equivalent to owner’s equity which is defined as the claim of the owners of a business to the assets of a business. At October 1, 2005, total assets were 1,443,462 (all figures are dollar amounts unless otherwise noted). Total liabilities for this period are 55,977. Therefore, net assets total 1,387,485. Investments are the assets with the highest dollar amount with short-term investments of 634,528 and other investments of 369,935 for a total of 1,004,463. Short-term investments are investments that a company plans to hold for 1
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pixar - On January 24, 2006, Walt Disney Company announced...

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