Instructions for main discussion post (Around 250 words)Please, write a discussion post about the...

Question

Instructions for main discussion post (Around 250 words)
Please, write a discussion post about the below topic/Statement.
Topic/Statement: Companies pursue intercompany activities for several reasons including diversification, expansion, and competitive opportunities and returns. This discussion question considers our analysis and interpretation of these inter-company activities as reflected in financial statements. From an analysis perspective, it may be required to apply analytical adjustments to these disclosures or figures to improve our analysis.
When a balance sheet reports a substantial dollar amount for goodwill, discuss what we should be concerned with in our analysis.
(1 or 2 Citations needed for main post)

discussion-3-assignment-instructions-ronniel-espigul-01hqn0av.docx

Kushal · Accepted Answer

Companies generally take two paths for the growth - 1.Organic, 2.Inorganic
In the Organic path, firm tries to improve the product lines,  product categories,  new stores and centers openings to attain growth. Whereas,  in the inorganic path,  the firm tries to engage into merger and acquisition activities to expedite the growth. 
In the M&A transactions,  the acquirer firm more often than not pays extra amount than the book value of the net identifiable assets.

Instructions for main discussion post (Around 250 words) Please, write a discussion post about the below topic/Statement. Topic/Statement: Companies pursue intercompany activities for several reasons...

Solution

Answer To This Question Is Available To Download

Related Questions & Answers

Submit New Assignment