The ratio of an acquired bank's current stock price per share plus the additional amount paid by the acquirer for each share of the acquired bank's stock,divided by the acquired bank's current stock price is the:

Question

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The ratio described in the question is known as the merger premium. It is the additional amount paid by the acquirer for each share of the acquired bank's stock, compared to the acquired bank's current stock price. Dividing this by the acquired bank's current stock price gives the merger premium as a percentage.

The Ratio of an Acquired Bank's Current Stock Price Per