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Using the M&A Valuation & Deal Structuring Model on the Website

question 29

Short Answer

Using the M&A Valuation & Deal Structuring Model on the website accompanying this text and the data
contained in the cells as a starting point, complete the following:
a. What is the enterprise and equity value of Target on the Valuation Worksheet?
b. Increase the sales growth rate by one percentage point (i.e., to 6.5%) on the Target Assumptions Worksheet.
What is the impact on the Target’s enterprise and equity values? (Hint: See Valuation Worksheet)
Close model but do not save results.

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Definitions:

Neural Tube

An embryonic structure that develops into the brain and spinal cord.

Anencephaly

Defective development of the brain and absence of the bones of the cranium. Only a rudimentary brainstem and a trace of basal ganglia are present.

Hydrocephaly

A condition characterized by an abnormal accumulation of cerebrospinal fluid within the ventricles of the brain, leading to increased pressure.

Ventricular Enlargement

This term refers to the expansion or increase in size of the ventricles in the brain, which can be indicative of disease or damage.

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