target Vs. acquirer

It depends on exactly what the question is asking for and the information given. However if you are meaning the MV of the equity in the target firm before the acquisition (which is normally given in exam questions) then you would normally discount the free cash flows to equity of the target firm at the target firms shareholders required rate of return (which could likely mean using the dividend valuation formula). However, again it all depends on what is wanted and the information available.