Multiple Choice
Firm A is being acquired by Firm B for $62,000 worth of Firm B stock. The incremental value of the acquisition is $4,300. Firm A has 2,700 shares of stock outstanding at a price of $22 a share. Firm B has 10,400 shares of stock outstanding at a price of $31 a share. What is the actual cost of the acquisition using company stock?
A) $62,000
B) $62,076
C) $62,274
D) $63,780
E) $62,620
Correct Answer:
Verified
Correct Answer:
Verified
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