Please read this case and answer the question 7 to 8. According to the question make a powerpoint.

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Ncevy233

Business Finance

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Please read the case carefully, and answer the question 7 to 8 clearly. Please write a paper as much as you can. After that please according to the question 7 and 8 make a powerpoint for presentation. Thanks

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Explanation & Answer

hi here it is but I am checking on grammar, let me know just in case.

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Answer to Questions 8 and 7

ANSWER TO QUESTION 7
Typically, the current market value of CompuTech is $4.5 million. The company
expected value to CCI is typically $12, 333, 176, calculated as $1.5 x 3 = $4.5 million. In this
regard, the acquisition is considerably beneficial to the two sets of stockholders. The added
value, which is the difference, $7,833,176, would be apportioned between the two firms’
stockholders. Based on the answers to question 5 and 6, the offering should range between $1.5
and $2.6 per share. At the range of $1.5 per share, the benefits should go to the CompuTech’s
shareholders. On the other hand, the benefits should go to CCI shareholders at $2.6 per share.
CompuTech need to offer the shares at the lowest possible price, which would definitely be
offered to the CCI shareholders. A low initial offer such as $1.6 cou...


Anonymous
Just the thing I needed, saved me a lot of time.

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