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    Foundations of Financial Management Study Set 4
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    Exam 20: External Growth Through Mergers
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    If the Purchasing Firm's Price Earnings Ratio Is Greater Than
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If the Purchasing Firm's Price Earnings Ratio Is Greater Than

Question 70

Question 70

True/False

If the purchasing firm's price earnings ratio is greater than the acquired firm's price earnings, the surviving firm will automatically get an increase in earnings per share.

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