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1 Verizon would like to acquire T-Mobile. It's offering $75,000 in cash to acquire its opponent. Assume neither firm has any debt. Each share of
1 Verizon would like to acquire T-Mobile. It's offering $75,000 in cash to acquire its opponent. Assume neither firm has any debt. Each share of Verizon's stock currently trades for $20, and the company currently has a total of 1,750 shares. For T-Mobile, those values are $28 and 2,500, respectively. If successful, the merger would have an $8,000 incremental value. The NPV of the merger to Verizon equals nts Multiple Choice $2,000 O O $4.000 o $6,000 O $3,000 $8,000 O
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