Firm B's 1 Million Shares of Stock Currently Sell for $12

question 93

Multiple Choice

Firm B's 1 million shares of stock currently sell for $12 each,but firm A is preparing an $18 per share tender offer.Firm A estimates the gain of the merger to be $6 million.What percentage of the merger gains will be captured by firm B's stockholders?

• A) 33.33%
• B) 50.00%
• C) 66.67%
• D) 75.00%

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Definitions:

Listening

Ability to derive meaning from sounds that are heard.

Hopeless Objections

Customer concerns during the sales process that appear to be insurmountable and resistant to standard objection-handling techniques.

True Objections

Genuine concerns or hesitations expressed by a potential buyer that need to be addressed by the seller.

Quantity Discount

A pricing strategy where the price per unit of a product decreases as the quantity of the product purchased increases.