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ia Question 26 (3 points) Consider the following premerger information about two firms. Firm A is the acquiring firm and Firm Bis the target firm.
ia Question 26 (3 points) Consider the following premerger information about two firms. Firm A is the acquiring firm and Firm Bis the target firm. Assume that both firms have no debt outstanding. The synergistic benefits from acquiring Firm B is $6.000 if Firm A acquires Firm B. 9 Item Firm A 1,800 $42 Firm B 800 522 12 Shares outstanding Price per share What is the NPV of the merger assuming if Firm B is agrees to a merger by an exchange of stock where Firm A pays I of its shares for every 2 of Firm B's shares? Enter your answer in the box shown below as dollars with 2 digits to the right of the decimal point Your Answer: 15 18
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