Multiple Choice
Firm A has a market value of $212,000 while Firm B's market value is $87,000.Firm A just acquired Firm B for $92,500 cash.What is the net present value of the acquisition if the merger creates $7,500 of synergy?
A) $7,500
B) $94,500
C) -$5,500
D) $2,000
E) -$13,000
Correct Answer:
Verified
Correct Answer:
Verified
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