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Calculate the Percentage of Premium Paid Given the Following Details

question 8

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Calculate the percentage of premium paid given the following details:

Details:
Although rumors of the transaction leaked out yesterday, AcquirerCo officially announced today that it has agreed to buy TargetCo for $25.00 a share.TargetCo shares closed higher yesterday at $20.00.


Definitions:

Capitalized

The process of recording a cost or expense on the balance sheet for the purposes of delaying full recognition of the expense over time through depreciation or amortization.

Raze

To completely tear down or demolish a building or structure.

Lump Sum

A single payment made at a particular time, as opposed to several smaller payments or installments.

Appraised Values

Estimated values given to property or assets by a qualified professional to determine their worth at a specific point in time.

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