I need some assistance with answering the following question: The four classifications of corporate mergers are (1) horizontal, (2) vertical, (3) cluster and (4) congeneric. Explain its meaning in the context of merger analysis in relation to (a) likelihood of government intervention and (b) likely to operate with synergy.
Decision Case 13-5 Acquisition Decision Diversified Industries is a large conglomerate that is continually in the market for new acquisitions. The company has grown rapidly over the last 10 years through buyouts of medium-size companies. Diversified does not limit itself to companies in any one industry, but looks for firms w
Miracle Printers (MP) manufactures printers. : Acquisition of patent, amortization, and change in useful life
Miracle Printers (MP) manufactures printers. Assume that MP recently paid $600,000 for a patent on a new laser printer. Although it gives legal protection for 20 years, the patent is expected to provide a competitive advantage for only eight years. Requirements 1. Assuming the straight-line method of amortization, make journ
Evaluate the following statement by an auditor concerning tests of acquisitions and cash disbursements: In selecting the acquisitions and cash disbursements sample for testing, the best approach is to select a random month and test every transaction for the period. Using this approach enables me to thoroughly understand inter
Compare and contrast three growth strategies. Key Fundamentals: Note five key fundamentals that must be in play before beginning a significant strategy of growth and wealth building.
Microsoft is a diversified company that has made an acquisition that appears to have failed to create any value. Identify and critically evaluate the rationale used by top management to justify the acquisition when it was originally made. Finally, determine why the acquisition subsequently failed.
Describe the relationship between strategic and financial planning. Include the following: -A strategic planning initiative for your organization and identify an initiative discussed in the organization's annual report. -How the initiative affects the organization's financial planning. -How will the initiative affect cost
DETERMINING ACQUISITION METHOD AND CONTRACT TYPE EXERCISE Bob knew there were many potential training sources in the Washington, DC Metro area. There were several incumbent training contractors currently supporting the Requiring Activity-but these companies were generally technical support contractors who performed part-time tr
1.Merger activity continues to be a much-used strategic option. From 2008 to 2009, M&A activity completed totaled approximately $5 trillion. In our current economic situation we see the pace has slowed a bit, but it is still active. Has your organization engaged in this activity? Perhaps your organization has been the target of
Please compare and contrast acquisition indebtedness and home-equity indebtedness. 2. Why might it be good advice from a tax perspective to think hard before deciding to quickly pay down mortgage debt? 3. Are employees or self-employed taxpayers more likely to qualify for the home office deduction? Explain
1.Please compare and contrast acquisition indebtedness and home-equity indebtedness. 2. Why might it be good advice from a tax perspective to think hard before deciding to quickly pay down mortgage debt? 3. Are employees or self-employed taxpayers more likely to qualify for the home office deduction? Explain
Procedures/processes contributing to the integration of standardization and simplification in developing specifications for new products. How these procedures/processes contribute to the more effective and efficient development of these specifications? What is the role of purchasing and supply management professionals in the
orporations are constantly trying to maximize their profits by increasing or decreasing the size of their operations. They do this via mergers or acquisitions (M&A's), and/or spinoffs, downsizing and outsourcing. Within the last 10 years, research a corporate merger between two corporations (e.g. Time Warner/AOL, Sprint/Next
See attached article file. Disney Nabs Marvel Heroes ? Discuss how the Disney-Marvel acquisition article sheds light on the strategic reasons for mergers and the factors that are influential in implementing a merger. ? What additional aspects of merger strategy can you learn about from analyzing Disney's efforts?
Research Corporate acquisitions: Why do firms purchase other corporations; do they pay too much; why some result in shareholder losses
Research corporate acquisitions using your text, course materials, and Web resources and then answer the following questions: 1. Why do firms purchase other corporations? 2. Do firms pay too much for the acquired corporation? 3. Why do so many acquisitions result in shareholder losses? Please include four refer
1. A small but growing firm has recently hired you to investigate a potential fraud the firm suspects its purchases journal clerk of periodically entering fictitious acquisitions. The nonexistent supplier's address is given as a post office mailbox, which the clerk has rented. The clerk forwards notifications of fictitious purchases for recording in the accounts payable ledger. Payment is ultimately mailed to the mailbox. The clerk then deposits the checks in an account in the name of the nonexistent supplier. Respond to the following: Describe the terms "fraud," "fraud deterrence," "fraud detection," and "fraud investigation." From the given scenario, list four red-flag indicators that might point to the existence of fraud. (Provide personal factors only.) From the given scenario, list two procedures you could follow to uncover the clerk's fraudulent behavior. Justify your answer using examples and reasoning. 2. Fraudulent financial reporting usually occurs as a result of environmental, institutional, or individual pressures and opportune situations. These pressures and opportunities, present to some degree in all companies, motivate individuals and companies to engage in fraudulent reporting. The prevention and detection of fraudulent financial reporting require that these pressures and opportunities be identified and evaluated in terms of the risks they pose to a company. These risk factors include internal ethical and control factors, as well as external environmental conditions. Respond to the following: Identify two company situational pressures that would increase the likelihood of fraud. Identify three corporate opportunities that make fraud easier to commit and detection less likely. For each of the following, identify the external environmental factors that should be considered in assessing the risk of fraudulent financial reporting: A company's industry A company's business environment A company's legal and regulatory environment Justify your answer using examples and reasoning.
1. A small but growing firm has recently hired you to investigate a potential fraud the firm suspects its purchases journal clerk of periodically entering fictitious acquisitions. The nonexistent supplier's address is given as a post office mailbox, which the clerk has rented. The clerk forwards notifications of fictitious purch
Assume the following financial data for Noble Corporation and Barnes Enterprises. Noble Corporation Barnes Enterprises Total Earnings $1,200,000 $3,600,000 Number of shares of stock outstan
According to the article Alternatives for Application Software Acquisition (nd), "contracted software development projects may prove to be more costly as they may see higher costs per hour labor cost than with in-house staff" What are your thoughts? Pan American Health Organization (nd) Alternatives for Application Software Acquisition [Online]. Available from: http://www.virtual.epm.br/material/healthcare/B0404.pdf (Accessed: 5 November 2011).
According to the article Alternatives for Application Software Acquisition (nd), "contracted software development projects may prove to be more costly as they may see higher costs per hour labor cost than with in-house staff" What are your thoughts? Pan American Health Organization (nd) Alternatives for Application Softwar
Discuss the change at Pfizer that Jeff Kindler implemented with the acquisition of Wyeth. Topics should address: what are the issues of the case of the Wyeth Acquisition, cover the pros and cons of the acquisition of Wyeth, A current environmental scan of the company, and internal analysis, How is Pfizer positioned for the futur
How does Barclays Capital differentiate itself from its competitors? Describe a recent development in the Investment Banking industry. What implications might this development have for the Business Analysis Department where you intend to join?
Foreign Direct Investment Read the Closing Case: Lakshmi Mittal and the Growth of Mittal Steel and write a paper in APA format with a detailed analysis that answers the following questions: - What forces drove Mittal Steel to start expanding across national borders? - Mittal Steel expanded into different national through
What is the difference between a merger and consolidation? List and explain the motives of mergers and consolidations.
The case is attached. 1. Once you have read the case fully, you should write several paragraphs of reaction to the case and decide what actions you would recommend. The case ends with some basic questions, which should be used as the focal point of the response Please give general thoughts and suggestions, and address the
Please provide a synopsis of the article in the link below. The synopsis needs to focus on the goal of the corporate restructuring that Vertex was involved in and your general thought's on the dealing with Eli-Lily. http://www.prnewswire.com/news-releases/vertex-pharmaceuticals-restructures-agreement-with-eli-lilly-vertex-to
Selling online primarily. What is the approximate cost of customer acquisition? How can a company utilize the social networking to reach our audience? How can a company educate the public that their product exist?
Please show the steps to follow to complete the exercises. 10-8 Pinewood Company purchased two buildings on four acres of land. The lump sum purchase price was $900,000. According to independent appraisals, the fair values were $450,000 (building A) and $250,000 (building B) for the buildings and $300,000 for the land.
10-3 Semtech Manufacturing purchased land and building for $4 million. In addition to the purchase price, Semtech made the following expenditures in connection with the purchase of the land and building: Title insurance $16,000 Legal fees for drawing the contract 5,000 Pro-rated property taxes for the period a
Kraft Food, Inc. (KFT) plays a dominant role in distributing manufactured goods to consumers worldwide. The company has provided consumers a plethora of products from dairy products to cookies to steak sauce. KFT prides itself on its overwhelming ability to diversify their products in an ever changing market. The organization understands consumer demands and quickly transitions to exceed consumer expectations. Their products appeal to every generation. KFT is the second largest food company in the world with annual revenues of $49 billion. KFT's global market positioning is #1 for products ranging from; biscuits, gum, chocolate, candy, and nuts. "Over the last several years, KFT has transformed its portfolio by expanding geographically and by building its presence in the fast-growing snacking category. A series of strategic acquisitions, notably of LUbiscuit from Danone and of Cadbury Plc, together with the strong organic growth of its Power Brands, have made Kraft Foods the world's leading snacks company. At the same time, the company has continued to invest in product quality, marketing and innovation behind its iconic North American brands, while implementing a series of cost management initiatives. As a result, the company has delivered a remarkable outcome in very challenging economic conditions" (PRNewswire, 2011).
Kraft Food, Inc. (KFT) plays a dominant role in distributing manufactured goods to consumers worldwide. The company has provided consumers a plethora of products from dairy products to cookies to steak sauce. KFT prides itself on its overwhelming ability to diversify their products in an ever changing market. The organization
Question 6 At the beginning of 2007, Ross Technology, Inc. acquired the Valpo Corporation for $350 million. In addition to cash, receivables, and inventory, the following allocations were made: Plant and equipment (depreciable assets) $120 million Developed technology 60 milli
Conduct Internet research on the success rate of corporate combinations over the past 20 years. Discuss your findings. Based on your research, what percentage of mergers and acquisitions do you consider to have been successful?
How are the tests of controls, substantive tests of transactions, and analytical procedures for the sales and collection cycle, payroll and personnel cycle, and acquisition and payment cycle similar? How do the cycles differ?