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Learn/Valuation and deal modeling
LearnValuation and deal modeling

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B Basic

  • Standalone value from the buyer's seat9m
  • Comps and precedents for a buyerPro8m
  • Valuing synergies properlyPro10m

A Advanced

  • Accretion and dilution, the full buildPro12m
  • Breakeven synergies and the most you can payPro10m
  • Return on capital and the currency you pay withPro11m
  • FlashcardsPro0/15
  • Basic quizPro80% passes
  • Advanced quizPro80% passes
  • Terms

Return on capital and the currency you pay with

EPS is one test. The other two are whether the deal earns more than its cost of capital, and what happens to the price when the buyer's own shares move.

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