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  2. Topic
    Business
  3. Study Set
    Mergers Acquisitions
  4. Exam
    Exam 9: Applying Financial Models to Value, structure, and Negotiate Mergers and Acquisitions
  5. Question
    If the Target Firm's Ratio of Bad Debt Reserves as a Percent
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If the Target Firm's Ratio of Bad Debt Reserves as a Percent

Question 8

Question 8

True/False

If the target firm's ratio of bad debt reserves as a percent of projected revenue is increasing,the analyst can be confident that the firm is boosting revenue by not reserving enough to cover probable future losses.

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