Backwoods Furniture and Anderton's Furniture Are All-Equity fiRms

Backwoods Furniture and Anderton's Furniture are all-equity firms. Backwoods has 2,700 shares outstanding at a market price of $42 a share. Anderton's has 4,500 shares outstanding at a price of
$56 a share. Anderton's is acquiring Backwoods for $120,000 in cash. The incremental value of the
Acquisition is $8,500. What is the value of Backwoods to Andertons'?

A) $37,800
B) $63,000
C) $87,500
D) $104,900
E) $121,900