CPE Credit: 19 hours

Course Type: Downloaded PDF materials with online test

Price (with PDF Textbook): $135

Course DescriptionThis course shows how to maximize the benefits to be gained from an acquisition, while reducing the risk of failure. It does so by discussing the strategies that are most successful for buyers, the steps and pitfalls in the acquisition process, how to gain government approval of an acquisition, and how to conduct a sufficiently detailed due diligence investigation. The course goes on to address those legal structures that are most beneficial from a tax perspective, how to develop a sensible purchase price, and how to engage in a seamless operational integration. The course also covers acquisition accounting.

Author: Steven Bragg

Course Number: FN1008

Table of Contents
Chapter 1. Acquisition Strategy
Chapter 2. The Acquisition Process
Chapter 3. Regulatory Approval
Chapter 4. Exit Planning
Chapter 5. The Data Room
Chapter 6. Valuation of the Target
Chapter 7. Synergy Analysis
Chapter 8. Hostile Takeover Tactics
Chapter 9. Due Diligence
Chapter 10. Payment Structure of the Acquisition
Chapter 11. Legal Structure of the Acquisition
Chapter 12. Acquisition Documents
Chapter 13. Acquisition Integration
Chapter 14. Accounting for Acquisitions
Chapter 15. Acquisition Personnel
Chapter 16. Reverse Mergers

Learning Objectives

• Cite the types of acquisition strategies that companies engage in.

• Specify the players involved and documents used in the acquisition process.

• Identify the laws and regulations under which the government reviews proposed acquisitions.

• State the activities that can be engaged in to prepare a business for sale, as well as the reasons for selling.

• Specify the problems and advantages of data rooms.

• Cite the different types of acquisition valuation methods, the variability of their results, and why a detailed valuation is of such interest to the seller’s board of directors.

• Recognize the reasons why identified synergies are not shared with the seller.

• Identify the techniques available for acquiring a target business with a hostile takeover, and the defenses that may be raised against it.

• State the areas in which due diligence should be conducted on a target company, the specific tasks to be completed, and the impact of due diligence costs on small acquisitions.

• Cite the advantages and disadvantages of paying for an acquisition with stock, debt, or cash from the perspectives of the acquirer and seller.

• Identify the legal structures used in an acquisition, and why they are used.

• Recognize the uses of the documents and clauses required to enter into and close an acquisition.

• State the role of the integration team, and the areas in which it is most likely to take steps to integrate the operations of the acquirer and acquiree.

• Specify the accounting required for an acquisition transaction under Generally Accepted Accounting Principles.

• Recognize the useful economic life concept.

• Describe the carrying amount concept.

• Identify the responsibilities and fee structures of the various acquisition specialists.

• State the merits and shortfalls of reverse mergers, and how a reverse merger transaction works.

• Specify the required notification period to the SEC when a reverse merger occurs.

• Recall the concept of the shareholder of record.

Level: Overview

Instructional Method: QAS Self-Study

NASBA Category: Finance

Prerequisites: None

Advance Preparation: None

Latest Review Date:December 2023

Program Registration Requirements: Click on "Purchase Course" near the top of this page to pay for and access the course. You will then be able to download the course as a PDF file, then take an on-line examination, and then download a certificate of completion if you pass the examination.

Program Refund Policy: For more information regarding administrative policies concerning complaints, refunds, and other matters, see our policies page.

AccountingTools, Inc. is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have the final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: www.nasbaregistry.org .

The NASBA sponsor identification number for Accountingtools, Inc. is 115881.

AccountingTools is an IRS Approved Continuing Education Provider. We are compliant with the requirements for continuing education providers (as described in sections 10.6 and 10.9 of the Department of Treasury’s Circular No. 230 and in other IRS guidance, forms, and instructions). Our IRS Approved Continuing Education Provider number is 72821.