Firms a and B Are Each Worth $50 Million,but Generate

question 77

Multiple Choice

Firms A and B are each worth $50 million,but generate a $20 million gain when merged.If the cost of the merger was $5 million,how much did firm A pay for firm B?

• A) $50 million
• B) $55 million
• C) $60 million
• D) $65 million

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Definitions:

ATP

Adenosine triphosphate, an organic compound that provides energy to drive many processes in living cells.

Eukaryotic Flagellum

Eukaryotic Flagellum refers to a lash-like appendage that protrudes from the cell body of certain eukaryotic cells, used primarily for locomotion.

Surface Area

The total extent of the outer layer or covering of an object, often related to the rate of processes like absorption and evaporation.

Volume

Volume is the amount of space that an object or substance occupies, measured in cubic units.