mergers and acquisitions

Purchase Price Allocation (PPA): Definition, Components, Example, and PDF

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A purchase price allocation is primarily involved in accounting purposes, but it also gives a useful evaluation of the components that make up goodwill. In this process, the purchase price was allocated to all the tangible net assets, such as working capital and machinery, with the rest allocated entirely to goodwill. Definition Purchase price allocation … Read more

What are Mergers and Acquisitions? M&A Definition, Example, Types, Forms, and Transactions

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Mergers and acquisitions

Mergers and acquisitions are transactions of shifting ownership between two companies, wherein a merger is a fusing or combining of two companies and acquisition is one company acquiring or buying another. The ultimate goal of mergers and acquisitions is to create synergy, which typically makes the two combined companies worth more valuable than the two separate companies.