Question
Firm A is being acquired by Firm B for 54,000 worth of Firm B equity. The incremental value of the acquisition is 5,600. Firm A
Firm A is being acquired by Firm B for 54,000 worth of Firm B equity. The incremental value of the acquisition is 5,600. Firm A has 2,400 shares of equity outstanding at a price of 21 per share. Firm B has 2,700 shares of equity outstanding at a price of 50 a share. What is the actual cost of acquisition using company equity?
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College Accounting
Authors: James A Heintz, Robert W Parry
20th Edition
538745215, 978-1111624743
