Multiple Choice
TJ's and Corner Grocery are all-equity firms. TJ's has 2,500 shares outstanding at a market price of $16.70 a share. Corner Grocery has 3,000 shares outstanding at a price of $22.50 a share. Corner Grocery is acquiring TJ's for $45,000 in cash. What is the merger premium per share?
A) $0
B) $1.30
C) $1.11
D) $1.28
E) $.32
Correct Answer:
Verified
Correct Answer:
Verified
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