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Consider the following bremerger information about a bidding firm {Firm B] and a target firm {Firm T}. Assume that both firms have no debt outstanding.

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Consider the following bremerger information about a bidding firm {Firm B] and a target firm {Firm T}. Assume that both firms have no debt outstanding. FirmEt FirmT Shares outstanding 4,800 1,830 Pricebershare $ 4? $ 20 Firm E has estimated that the value ofthe synergistic benefits from acquiring Firm T is $9.100. If Firm T is willing to be acquired for $22 per share in cash. what is the NPR!\" ofthe a. merger? [Do not round intermediate calculations and round your answer to the nearest whole number. e.g., 32.] What will the price per share of the merged firm be assuming the conditions in b. {a}? {Do not round intermediate calculations and round your answer to 2 decimal places, e.g.. 32.15.} If Firm T is willing to be acquired for $22 per share in cash, what is the merger c. bremium? {Do not round intermediate catculations and round your answer to the nearest whole number. e.g., 32.] Suppose Firm T is agreeable to a merger by an exchange of stock. lfB offers one of its shares for eyery two of T's shares, what will the price per share ofthe merged firm be? [Do not round intermediate calculations and round your answer to 2 decimal places, e.g.. 32.15.} What is the NPR! ofthe merger assuming the conditions in [d]? (Do not round intermediate calculations and round your answer to 2 decimat places, e.g.. 32.16.} 3 |_ r 3 t_ 3

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