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What hurdle rate issue arises when evaluating leveraged buyouts. What is the appropriate hurdle rate that the...

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Finance

What hurdle rate issue arises when evaluating leveragedbuyouts.

What is the appropriate hurdle rate that the analyst shoulduse?

When the acquirer and the target company operate in differentindustries, what hurdle rate issue arises?

Answer & Explanation Solved by verified expert
4.0 Ratings (433 Votes)
A hurdle rate which is also known as minimum acceptable rate of return MARR is the minimum required rate of return or target rate that investors are expecting to receive on an investment The rate is determined by assessing the cost of capital risks involved    See Answer
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