Global Travel Inc. is in negotiations to acquire Vacations Unlim- ited Corporation. Global Travel will pay $6 million for Vacations Unlimited, and plans to finance this purchase with 55 percent in new stock, 35 percent in new debt, and 10 percent with existing cash balances. The book value of Vacations Unlimited is $5 million.. Describe how this acquisition affects the balance sheet of Global Travel.

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