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Question 4 8. $70,000 C. $36,000 D. $73,500 E. $79,500 Firm A is acquiring Firm B for $40,000 in cash. Firm A has a current

Question 4
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8. $70,000 C. $36,000 D. $73,500 E. $79,500 Firm A is acquiring Firm B for $40,000 in cash. Firm A has a current market value of $66,000 while Firm B's current market value is $38,000. The synergy value from the acquisition is $2,500. What is the value of Firm A after the acquisition? 4. A. $108,500 B. $68,500 C. $45,000 D. $66,500 E. $106,500

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