FREE Trial
Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

News Express has 26,200 shares outstanding at a market price of $33.30 a share. Nu-News has 15,000 shares outstanding at a price of $54 a

image text in transcribed
News Express has 26,200 shares outstanding at a market price of $33.30 a share. Nu-News has 15,000 shares outstanding at a price of $54 a share. The News Express is acquiring Nu-News. Both firms are all-equity financed. The incremental value of the acquisition is $2.500. What is the value of Nu-News to News Express? Multiple Choice $807,500 $874.960 News Express has 26,200 shares outstanding at a market price of $33.30 a share. Nu-News has 15,000 shares outstanding at a price of $54 a share. The News Express is acquiring Nu-News. Both firms are all-equity financed. The incremental value of the acquisition is $2.500. What is the value of Nu-News to News Express? Multiple Choice $807,500 $874.960

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

International Financial Management

International Financial Management

Authors: Cheol S. Eun

5th Edition

0071181148, 9780071181143

More Books

Students also viewed these Finance questions

Question

★★★★★
You are a bank regulator working for the Federal Reserve. It is your job to see whether banks are solvent or insolvent, liquid or illiquid. Fit each of the following banks into one of the following...

Answered: 1 week ago

Question

★★★★★
Can I have the scripting language as Visual Basic please. DANCE BAND Design a Windows application and write the code that will execute according to the program requirements in Figure 8-107. Before...

Answered: 1 week ago

Question

★★★★★
Summarize the facts of the case.

Answered: 1 week ago

Question

★★★★★
The popularity of the Fast Creek Lightning hockey team under its new coach, Scotty Beauchamp, has surged in each of the five years since his arrival in town. (See Fast Creek Lightning (A) in Chapter...

Answered: 1 week ago

Question

★★★★★
News Express has 26,200 shares outstanding at a market price of $33.30 a share. Nu-News has 15,000 shares outstanding at a price of $54 a share. The News Express is acquiring Nu-News. Both firms are...

Answered: 1 week ago

Question

★★★★★
On January 1, 2021, the Haskins Company adopted the dollar-value LIFO method for its one inventory pool. The pool's value on this date was $800,000. The 2021 and 2022 ending inventory valued at...

Answered: 1 week ago

Question

★★★★★
Given the recent economic crises, many economists have spoken out about the unstable and potentially unsustainable nature of capital distribution (i.e., the polarization of income). Because the...

Answered: 1 week ago

Question

★★★★★
INFORMATION FOR THE NEXT FOUR ITEMS: Carlton Corporation Carlton Corporation produces and sells faux-leather handbags. In the current year, the company budgeted for the production and sale of 1,000...

Answered: 1 week ago

Question

★★★★★
The upper and lower specifications for a service are 11.5 min. and 8.0 min., respectively. The process average is 8.20 min. a.) If 6-sigma process capability is desired, what should the process mean...

Answered: 1 week ago

Question

★★★★★
Which trade argument makes the following claim? "If officials and statisticians dug a little deeper, they would find that the United States enjoyed a nontrivial trade surplus with China in the iPhone...

Answered: 1 week ago

Question

★★★★★
3. On February 5, 2020, BALUBARAN Enterprise has purchased goods on account amounting to P500,000 with credit terms 3/15, n/60 from its major trade supplier. BALUBARAN operates 360 days a year....

Answered: 1 week ago

Previous Question Next Question