Taylor's Hardware is acquiring The Corner Store for $27,400 in cash. Taylor's has 1,500 shares of stock outstanding at a market value of $44 a share. The Corner Store has 2,100 shares of stock outstanding at a market price of $12 a share. Neither firm has any debt. The incremental value of the acquisition is $1,700. What is the value of Taylor's Hardware after the acquisition?
A) $49,000
B) $50,300
C) $57,300
D) $65,500
E) $72,400

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The Answer of Taylor's Hardware is acquiring The Corner Store for $27,400 in cash. Taylor's has 1,500 shares of stock outstanding at a market value of $44 a share. The Corner Store has 2,100 shares of stock outstanding at a market price of $12 a share. Neither firm has any debt. The incremental value of the acquisition is $1,700. What is the value of Taylor's Hardware after the acquisition?
A) $49,000
B) $50,300
C) $57,300
D) $65,500
E) $72,400

Taylor's Hardware Is Acquiring the Corner Store for $27,400 in Cash