If the purchasing firm's price earnings ratio is greater than the acquired firm's price earnings, the surviving firm will automatically get an increase in earnings per share.
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Q20: In a merger, two or more companies
Q21: While a horizontal merger may improve profitability,
Q22: Horizontal integration is usually prohibited or severely
Q23: By using cash instead of stock, a
Q24: For mergers occurring after 2001, goodwill is
Q26: A motive for selling stockholders may be
Q27: In a horizontal merger, the integration that
Q28: A cash purchase of one company by
Q29: The earnings-per-share impact of a merger is
Q30: The existing management of a firm is
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