Both Firms Are 100% Equity-Financed

Both firms are 100% equity-financed. Firm A can acquire firm B for $82,500 in the form of either cash or stock. The synergy value of the deal is $12,500. What is the value of firm B to firm A?

A) $12,500
B) $57,500
C) $75,000
D) $87,500
E) $125,000