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Consider the following pre-merger 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 pre-merger information about a bidding firm (Firm B) and a target firm (Firm T) Assume that both firms have no debt outstanding. Firm 8 has estimated that the value of the synergistic benefits from acquiring Firm T is $9,600. a. If Firm T is willing to be acquired for $20 per share in cash, what is the NPV of the merger? (Omit " $ " sign in your response. Negative answers should be indicated by a minus sign.) NPV b. What will the price per share of the merged firm be, assuming the conditions in (o)? (Round the final answer to 2 decimat places. Omit "g" sign in your response.) Price per share c. If Firm T is willing to be acquired for $20 per share in cash, what is the merger premium? (Omit ' $ " sign in your response.) Merger premium d. Suppose Firm T is agreeable to a merger by an exchange of stock, if B offers one of its shares for every two of T 's shares, what will the price per share of the merged firm be? (Round the final answer to 2 decimal places. Omit " 5 " sign in your response.) Price per share e. What is the NPV of the merger assuming the conditions in (d)? (Round the final answer to 2 decimal places. Omit " 5 " sign in your. response. Negative answers should be indicated by a minus sign.) NPV

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