The decision to acquire another firm is a capital budgeting decision much like any other. However, the NPV of an acquisition is difficult to measure, so the subject of mergers and acquisitions warrants specific attention. Mergers differ from ordinary investment decisions in four ways. First, the value of a merger may depend on benefits (or synergies) arising from the combination. Second, the accounting, tax, and legal aspects of a merger are frequently complex. Third, mergers often involve issues of corporate control. Finally, some mergers are 'unfriendly', i.e., target firm managers do not want the acquisition to occur.