Financing acquisition with retained earnings

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September 6, 2017 at 5:19 pm #406103
Victoria
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hello, sir

could you please explain how acquisition can be financed with retained earnings if there is not any cash available for that?
September 7, 2017 at 7:13 am #406276
John Moffat
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Acquisitions are rarely paid for entirely by cash – they are more likely paid for by giving shares in the acquiring company to the shareholders of the target company.
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