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Problem 1 0 . Firm B is going to acquire Firm T . The acquisition will be done via a share exchange. Firm B will

Problem 10. Firm B is going to acquire Firm T. The acquisition will be done via a share
exchange. Firm B will exchange two of its shares for every one of Firm T's shares.
Synergy is $260,000
What is the takeover premium that has been paid to Firm T?
a) $215,000
b) zero
c) $172,500
d) $87,500
e) $260,000
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