Suppose that Company A has just made an offer to acquire Company B. Prior to the offer, Company B had 20 million shares outstanding that traded at a price of $35, and Company A had 80 million shares outstanding that traded at $30. Assume that prior to the offer the stock market did not anticipate an acquisition of Company B by Company A. Company A's projections for how synergies would affect the combined firm's expected FCFs over the next 5 years are those given below. You should assume that these additional expected FCFs will continue to grow at 2% a year after 2015, that FCFs are incurred at the end of each year, and that date 0 is the beginning of 2011. The appropriater_Ufor the incremental cash flows from these synergies is 14%. The proposed merger will not affect the riskiness of either company's existing debt.