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(A)company y has inventory worth $200mm and PP&E worth $500mm and no other assets. company X...

(A)company y has inventory worth $200mm and PP&E worth $500mm and no other assets. company X buys company Y for $1B in cash. what happens to the company X balance sheet after the acquisition?

(b) since company X paid $1B for only $700mm of assets, does it necessarily mean that they overpaid for company Y?

why?

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we of (A) Company thas Inventory worth $200 rin and PPDE worth $roomm and No other assets. Company X buys Company y for $

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