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Miller Sporting Goods is acquiring Town Line Sports for $327,000 in cash. Currently, Miller Sporting Goods has 12,500 shares of stock outstanding at a market

Miller Sporting Goods is acquiring Town Line Sports for $327,000 in cash. Currently, Miller Sporting Goods has 12,500 shares of stock outstanding at a market price of $54 a share. Town Line Sports has 12,000 shares outstanding at a price of $26 a share. Neither firm has any debt. The incremental value of the acquisition is estimated to be $16,500. What is the merger premium per share? A) $1.25

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