Firm A is acquiring Firm B for $37,000 in cash. Firm A has 3,400 shares of stock outstanding at a market value of $15 a share. Firm B has 2,200 shares of stock outstanding at a market price of $37 a share. Neither firm has any debt. The net present value of the acquisition is $2,100. What is the price per share of Firm A's stock after the acquisition?
A) $15.62
B) $16.07
C) $28.68
D) $34.18
E) $39.56
Correct Answer:
Verified
Q78: Firm A is being acquired by Firm
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