Instructions: This take home exam is a cumulative assessment of all that youve learned
in class so far. There is no time limit, and you may use your books and notes, but you
must do your own work, answering all questions by yourself. Please use this docum
Running head: TOP MERGER AND ACQUISITION
Top Merger and Acquisition
Tarron Johnson
American InterContinental University
1
TOP MERGER AND ACQUISITION
2
Top Merger and Acquisition
Abstract
One of the biggest mergers of 2015 was the American pharmaceuticals
Breakeven Example Problem
Price = $100 per unit.
Variable cost = $60 per unit.
Fixed Operating Costs = $20,000 per year.
Project Initial Outlay = $80,000
5-year life, Straight Line Depreciation to zero salvage value.
Required return = 10% per year.
Accoun
Breakeven Example Problem
Price = $100 per unit.
Variable cost = $60 per unit.
Fixed Operating Costs = $20,000 per year.
Project Initial Outlay = $80,000
5-year life, Straight Line Depreciation to zero salvage value.
Required return = 10% per year.
Accoun
Breakeven Example Problem 2
Price = $40 per unit.
Variable cost = $25 per unit.
Fixed Operating Costs = $100,000 per year.
Project Initial Outlay = $400,000
5-year life, Straight Line Depreciation to zero salvage value.
Required return = 15% per year.
Acc
Capital Budgeting
Equivalent Annual Annuity
Add to the CD the concept of Equivalent Annual Annuity (EAA).
EAA = Average NPV per year (on a time value of money basis)
N = years of the project
I/Y = discount rate
PV = - NPV
cpt PMT
Mutually Exclusive Projec
Example Problem
MACRS Depreciation and A/T Salvage Cash Flow
Suppose XYZ Manufacturing has suggested a project which requires a new, custom made
piece of equipment which is manufactured in San Francisco. The cost of the equipment
is $180,000 FOB San Franc
Breakeven Example Problem
Price = $5 per unit.
Variable cost = $3 per unit.
Fixed Operating Costs = $10,000 per year.
Project Initial Outlay = $20,000
5-year life, Straight Line Depreciation to zero salvage value.
Required return = 20% per year.
Accountin
Breakeven Example Problem
Price = $5 per unit.
Variable cost = $3 per unit.
Fixed Operating Costs = $10,000 per year.
Project Initial Outlay = $20,000
5-year life, Straight Line Depreciation to zero salvage value.
Required return = 20% per year.
Accountin
Breakeven Example Problem 2
Price = $40 per unit.
Variable cost = $25 per unit.
Fixed Operating Costs = $100,000 per year.
Project Initial Outlay = $400,000
5-year life, Straight Line Depreciation to zero salvage value.
Required return = 15% per year.
Acc
Finding the Project Cash Flows
Suppose a company has a 5-year project that requires capital spending of $2,000. At the
end of the project, the salvage equipment can be sold for $200. Inventory and Accounts
Receivable of $400 are also needed at the beginni
Tisha Taylor
Acct. 2 Project part 2
In this report I did for WRM Athletic Supply, Inc. it included the following five-year financial
summary, which are trend analysis for net sales and net income, profitability analysis, evaluation of the
ability to sell
(‘onIinuous Distributions Homework Problems
I) l’hc average umc to play l8 holes ol‘goH‘is J 2 hours With a nnmmum 01‘2 9 hours
What Is [he prohahIlIl)‘ you ml! ﬁnish m lcss than four hours ll‘lhc llmc ll \akcs to
play a round [3 uniforme dlslrlhulcd"
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—'7.
H51
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Discrete Probability Distributions Homework Problems
I ) An investor has a choice ot~ 2 investment opportunities. The first investment yields a
gain of SIOOO with probability of .4. a gain ol‘ $800 with probability of .4. and a loss
Hypothesis Testing Homework Problems
One Population
1) In past years the mean IQ of enlisted men in the Army was l03 A general claims
that due to low pay, the average [0 of new enlisted men is lower than in the pnsl. In a
random sample of 60 enlistees, th
Frequency Distributions Homework Problems
I) Complete the following table describing the relationship between age and salary for
500 lawyerth ailocal law ﬁrm (salaries in thousands)
, ,_ W V r 7 24-30 31-37 38-44
a ﬁlo-491 A_ A \60 so
Probability Theory Homework Problems
1) Suppose that we have data on 500 mutual funds and their returns in two difft‘J'ent
years. Suppose that in 1998, 70% of the mutual funds had a return of at 1635! 10%-
Funhermore, suppose that in 2007, 60% of the mutu
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2) Airoondiﬁonerslastanaverage of 11.5 yeatg‘wnslhoa standard
The seller agrees to replace one if it fails within 9 years. the
x. I : :‘ mics i171“ Boston
FALL 2015
Department of
Accounting
ACCT 2330
Principles of Accounting II
Cynthia Johnson, CPA
Welcome to Accounting II! I am looking forward
to guiding you as you continue to explore the
language of money. Please familiarize yourself
with this syllabus Iv
CHAPTER 2
Real Estate Financing: Notes and Mortgages
TRUE/FALSE
1. A mortgage is the same thing as a note. (F)
2. A non-recourse loan is one in which the borrower is personally liable for payment of all
amounts due under the terms of the note. (F)
3. Prep
Research Assistant Energy Efficiency
Description
Energy Efficiency
Research Assistant
Little Rock, AR
About ICF International
ICF International (NASDAQ:ICFI) provides professional services and technology solutions that deliver beneficial
impact in areas c
Discrete Probability Distributions (5)
Discrete Probability Distributions
5
Random Variables Defined
Probability Distributions
Expected Value of a Random Variable
Variance (and standard deviation) of a Random Variable
Binomial Probability Distribution
Mea
Calculating Beta for a Stock
Using Data from the Internet
1.
Go to Yahoo!Finance on the internet at URL, http:/finance.yahoo.com/
2.
Enter the ticker symbol for the stock (this gives a recent quote of the stock price).
3.
To the left of the stock price qu
Matthew Jesmer
Week 9 Assignment 2
Econ
Mohammad
The pharmaceutical drug industry is a monopolistically competitive market. Not all of the
pharmaceutical companies produce the same drugs so in essence one company has a monopoly
on a drug say that treats N
Matthew Jesmer
Week 9 Assignment 1
Econ
Mohammad
A. To maximize profit the Company should sell/Rent 110 dvds at $3 a day. This will give the
company a $330 profit every day.
B. $330 - $220 (Average Cost) then the company would profit $110 a day from its m
Matthew Jesmer
Week 8 Assignment 2
Econ
Mohammad
Wal-Mart was one of the U.S.A.s largest monopolies. Wal-Mart had it all, and all at a
lower cost than the other guys. Wal-Mart sold food, drugs, clothing, electronics, and a one stop
shop. Because Wal-Mart