Abstract

The current study aimed at identifying the effect of acquisition on income statement items in acquired company (subsidiary company), a case study of Irbid Electricity (IDECO). In order to achieve this objective, the researcher has carried out an analytical study that applied the descriptive analytical approach, using the necessary scientific knowledge on the different aspects of the study by reference to the previous studies and the scientific references, the use of the statistical approach to analyze the study data represented by the actual data taken from Irbid Electricity (IDECO) for the period (2002-2016). The results of the study showed statistically significant differences in energy sales average, energy purchase cost, other operating revenues, other revenues, operating expenses, and earning per share before and after acquisition, and also, the results have shown no significant differences between the average of other expenses before and after acquisition. The most important recommendations of the study were the necessity of taking advantage of the experiences of acquisitions and thinking of it seriously, working to raise awareness of the importance of acquisition and clarify its positive effects, and to benefit from global experiences in the acquisition and its positive impact.

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