Firm a Can Acquire fiRm B for $120,000 in Cash

Firm A can acquire firm B for $120,000 in cash or in shares of firm A stock. The synergy value is $36,000. What is the value of the post-merger firm if the merger is an all cash deal?

A) $126,000
B) $142,000
C) $178,000
D) $214,000
E) $334,000