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XYZ Corp is worth $20 million as a standalone firm. ABC Ltd. has offered 400,000 shares valued at $60 each to merge with XYZ. Post

XYZ Corp is worth $20 million as a standalone firm. ABC Ltd. has offered 400,000 shares valued at $60 each to merge with XYZ. Post merger, however, ABC's shares are worth only $55 per share. What was the cost of the merger?

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