Foundations of Financial Management
Foundations of Financial Management
16th Edition
ISBN: 9781259277160
Author: Stanley B. Block, Geoffrey A. Hirt, Bartley Danielsen
Publisher: McGraw-Hill Education
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Chapter 20, Problem 10DQ
Summary Introduction

To explain: The typical merger premium paid during a merger and its effect on the market value.

Introduction:

Merger premium:

Merger premium is the difference between the estimated real value and the actual price paid to obtain the target company.

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