Dressler, Inc., is planning on merging with Weston Foods. Dressler will pay Weston's shareholders the current value of its stock in shares of Dressler stock. Dressler's currently has 6,200 shares of stock outstanding at a market price of $30 a share. Weston's has 2,200 shares outstanding at a price of $28 a share. How many shares of stock will be outstanding in the merged firm?
A) 6,840 shares
B) 7,061 shares
C) 7,200 shares
D) 8,253 shares
E) 8,609 shares
Correct Answer:
Verified
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