Firm X is being acquired by Firm Y for $53,000 worth of Firm Y stock. The incremental value of the acquisition is $1,680. Firm X has 2,400 shares of stock outstanding at a price of $22 a share. Firm Y
Has 1,800 shares of stock outstanding at a price of $53 a share. What is the actual cost of the
Acquisition using company stock?
A) $52,929
B) $53,529
C) $56,408
D) $57,108
E) $58,607

Question

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The Answer of Firm X is being acquired by Firm Y for $53,000 worth of Firm Y stock. The incremental value of the acquisition is $1,680. Firm X has 2,400 shares of stock outstanding at a price of $22 a share. Firm Y
Has 1,800 shares of stock outstanding at a price of $53 a share. What is the actual cost of the
Acquisition using company stock?
A) $52,929
B) $53,529
C) $56,408
D) $57,108
E) $58,607

Firm X Is Being Acquired by Firm Y for $53,000