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Question 62 (1 point) Both firms are 100% equity-financed. Firm A can acquire firm B for $82,500 in the form of either cash or stock.

Question 62 (1 point)\ Both firms are

100%

equity-financed. Firm A can acquire firm B for

$82,500

in the\ form of either cash or stock. The synergy value of the deal is

$12,500

.\ What is the NPV of acquiring firm B when stock financing is used?\

$3,746

\

$3,925

\

$4,122

\

$5,000

\

$5,510
image text in transcribed
Both firms are 100% equity-financed. Firm A can acquire firm B for $82,500 in the form of either cash or stock. The synergy value of the deal is $12,500. What is the NPV of acquiring firm B when stock financing is used? $3,746 $3,925 $4,122 $5,000 $5,510

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