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XYZ is worth $700 and ABC has a market value of $450. XYZ acquired ABC for $500 because they thought the combined firm was worth

  1. XYZ is worth $700 and ABC has a market value of $450. XYZ acquired ABC for $500 because they thought the combined firm was worth $1,300. What is the synergy from the merger of XYZ and ABC?
  1. $100
  2. $150
  3. $350
  4. $800
  5. $125

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