Allan Corporation would like to purchase 60% of Mark Corporation in an acquisition. If Allan pushes through with this, the total equity value of Mark will be as follows: There are 100,000 shares outstanding while the current market value of the 60% of the shares outstanding is P1,800,000. *What is the total value of control to Allan?
Allan Corporation would like to purchase 60% of Mark Corporation in an acquisition. If Allan pushes through with this, the total equity value of Mark will be as follows: There are 100,000 shares outstanding while the current market value of the 60% of the shares outstanding is P1,800,000. *What is the total value of control to Allan?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Allan Corporation would like to purchase 60% of Mark Corporation in an acquisition. If Allan pushes through with this, the total equity value of Mark will be as follows:
There are 100,000 shares outstanding while the current market value of the 60% of the shares outstanding is P1,800,000. *What is the total value of control to Allan?
Transcribed Image Text:Value
Probability
3,000,000
20%
3,500,000
50%
4,200,000
30%
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