Use the Internet to research two (2) publicly traded U.S. companies and download their financial statements. Assume that you are the CEO of one of the selected companies. You are responsible for gaining control over the other company. You have three (3) choices, any of which you believe that the Board of Directors will support.
Choice 1: Your company acquires 35% of the voting stock of the target company.
Choice 2: Your company acquires 51% of the voting stock of the target company.Â
Choice 3: Your company acquires 100% of the voting stock of the target company.Â
Write a four to five (4-5) page paper in which you:
Provide a brief background introduction on both the company that you are working for and the company that you are responsible for gaining control over.
Specify the overall manner in which the acquisition fits into your companyâ€™s strategic direction. Next, identify at least three (3) possible synergies that could occur as a result of the proposed acquisition.
Select two (2) out of the three (3) choices provided in the above scenario and analyze the key accounting requirements for each of the two (2) choices that you selected. Next, suggest one (1) strategy with which you would prepare the financial statements for your company after the acquisition under each of the two (2) choices.
Select the choice that you consider to be the most advantageous to your company. Explain to the Board of Directors at least three (3) reasons why your selected choice is the most advantageous to the company.
Assume that two (2) years after the acquisition, your Board of Directors wants to offer the shares back to the public in hopes of making a large profit. Assume that in each of the two (2) years your company and the target company have had the same reported net income as they did in the year of acquisition. Determine the type of value (i.e., cost of fair value) that you would use to report the subsidiaryâ€™s net asset in the subsidiaryâ€™s financial statements, which the company will distribute to the public with the public offering. Provide support for your rationale. Â Â Â
Use at least three (3) quality academic resources in this assignment. Note: Wikipedia and similar websites do not qualify as academic resources.Â
We value our customers and so we ensure that what we do is 100% original..
With us you are guaranteed of quality work done by our qualified experts.Your information and everything that you do with us is kept completely confidential.
You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.Read more
The Product ordered is guaranteed to be original. Orders are checked by the most advanced anti-plagiarism software in the market to assure that the Product is 100% original. The Company has a zero tolerance policy for plagiarism.Read more
The Free Revision policy is a courtesy service that the Company provides to help ensure Customer’s total satisfaction with the completed Order. To receive free revision the Company requires that the Customer provide the request within fourteen (14) days from the first completion date and within a period of thirty (30) days for dissertations.Read more
The Company is committed to protect the privacy of the Customer and it will never resell or share any of Customer’s personal information, including credit card data, with any third party. All the online transactions are processed through the secure and reliable online payment systems.Read more
By placing an order with us, you agree to the service we provide. We will endear to do all that it takes to deliver a comprehensive paper as per your requirements. We also count on your cooperation to ensure that we deliver on this mandate.Read more