Multiple Choice
Firm A is acquiring Firm B for $75,000 in cash.Firm A has 4,500 shares of stock outstanding at a market value of $27 a share.Firm B has 2,500 shares of stock outstanding at a market price of $29 a share.Neither firm has any debt.The incremental value of the acquisition is $2,200.What is the price per share of Firm A's stock after the acquisition?
A) $25.98
B) $26.45
C) $26.93
D) $27.00
E) $27.33
Correct Answer:
Verified
Correct Answer:
Verified
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