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Aardvark Enterprises has agreed to be acquired by Lawson Products in exchange for $20,000 worth of Lawson Products stock. Lawson has 1,100 shares of stock
Aardvark Enterprises has agreed to be acquired by Lawson Products in exchange for $20,000 worth of Lawson Products stock. Lawson has 1,100 shares of stock outstanding at a price of $13 a share. Aardvark has 1,800 shares outstanding with a market value of $17 a share. The incremental value of the acquisition is $3,100. What is the value of Lawson Products after the merger?
$35,520
$48,000
$42,240
$38,400
$44,160
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