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Firm X has 1 0 0 shares outstanding at $ 2 0 per share. Firm Y also has 1 0 0 shares outstanding with a

Firm X has 100 shares outstanding at $20 per share. Firm Y also has 100 shares outstanding with a current price of $5 per share. Firm X offers Ys shareholders $8 per share in cash. Firm Xs management expects the combined value of the firm to be $3,000. The expected gain and the NPV of the merger to X are, respectively, closest to:
a) $500 and $300
b) $300 and $200
c) $500 and $200
d) $300 and $300

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