Q4. (6 marks) Langley Inc. has a market value of $125 million and 5 million shares outstanding. Surrey Corp. has a market value of $40 million and 2 million shares outstanding. Langley is thinking about purchasing Surrey. Langley's CFO concludes that the combined firm with synergy will be worth $185 million and Surrey can be acquired at a premium of $10 million a) (3 marks) If Langley offers 1.2 million shares of its stock in exchange for the 2 million shares of Howard, what will the stock price of Langley be after the acquisition? b) (3 marks) What exchange ratio between the two stocks would make the value of a stock offer equivalent to a cash offer of $50 million