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Company Alpha has a Total Debt of $30,000 and Total Equity of $70,000 before the M&A. Alpha intends to buy Company Beta for $45,000 with
Company Alpha has a Total Debt of $30,000 and Total Equity of $70,000 before the M&A. Alpha intends to buy Company Beta for $45,000 with all of its assets at market prices. It will pay for Beta; 50% in Cash and 50% in Equity, and it will not take the Total Debt of Beta. Beta has a Total Debt of $20,000 and Equity of $15,000. Find the Total Value of the Merged Company (Alpha/Beta).
Question 22 options:
$122,500
$145,000
$152,500
$160,000
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