Which of the Following Statements Seems Most Correct About a Firm

question 89

Multiple Choice

Which of the following statements seems most correct about a firm that has made a cash tender offer for 2 million shares of ABC Corp.at a price of $20,which is $6 higher than ABC's current value?

• A) The economic gain of the merger exceeds $40 million.
• B) The economic gain of the merger exceeds $28 million.
• C) The economic gain of the merger exceeds $12 million.
• D) The economic gain of the merger would be zero after accounting for merger cost.

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Definitions:

Yes-No Couples

Pairs in relationships who frequently find themselves in opposition, often saying "yes" and "no" to the same proposals, leading to potential conflicts.

Closed Adoptions

An adoption process where there is no exchange of information or contact between the biological and adoptive families.

Birth Parents

The biological parents who gave birth to a child, as opposed to adoptive parents.

Multiethnic Placement Act

A law designed to prevent discrimination on the basis of race, color, or national origin in the placement of children for adoption or foster care.