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a Assuming this deal was completed as originally announced, draw the payoff to shareholders of Guidant at closing as a function of the Boston Scientific

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a Assuming this deal was completed as originally announced, draw the payoff to shareholders of Guidant at closing as a function of the Boston Scientific stock market value. b Show how the payoffs to Guidant shareholders can be replicated using combinations of t-bills, Boston Scientific stock, and options on Boston Scientific stock. Be precise about relevant quantities and strike prices. c Suppose the day after the merger announcement, the FDA announces some negative infor- mation about Boston Scientific and the company's stock price falls by 7%. (True story.) How would this affect the value of each of the underlying positions you described in part (b)

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