题目内容

It is easier to obtain the fair market value of private companies than for public companies because of the absence of volatile stock markets.

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An increase in the target firm's reserves for doubtful accounts increases taxable income, while a decrease reduces the firm's taxable income.

Employee benefit levels in private firms are almost always mandated by state or federal law and therefore cannot be changed.

The purpose of adjusting the target’s income statement is to provide an accurate estimate of the current year's reported operating income or operating cash flow.

If a buyer expects that the target firm's revenue has been overstated, the buyer can reconstruct revenue by examining usage levels of the key inputs required to produce the product or service.

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