Firm a Is Being Acquired by Firm B for $54,000

Multiple Choice

Firm A is being acquired by Firm B for $54,000 worth of Firm B stock.The incremental value of the acquisition is $5,600.Firm A has 2,400 shares of stock outstanding at a price of $19 a share.Firm B has 2,700 shares of stock outstanding at a price of $50 a share.What is the actual cost of the acquisition using company stock?

A) $50,509
B) $52,276
C) $53,200
D) $56,780
E) $60,600