The Following Data on a Merger Are Given Firm a Has Proposed to Acquire Firm B at a l

question 53

Multiple Choice

The following data on a merger are given: $\begin{array} { l c l l } & \text { Firm A } & \text { Firm B}&\text { Firm AB } \\\text { Price per share } & \$ 100 & \$ 10 & \\\text { Total earnings } & \$ 500 & \$ 300 & \\\text { Shares outstanding } & 100 & 40 & \\\text { Total value } & \$ 10.000 & \$ 400 & \$ 11.000\end{array}$ Firm A has proposed to acquire Firm B at a price of $20 per share for Firm B's stock.Calculate the gain from the merger.

• A)$600
• B)$150
• C)$550
• D)$700

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Definitions:

Planned Performance Standard

Predefined benchmarks or expectations against which employee performance is measured, often used in performance appraisals.

Merit Pay

A pay increase given to employees based on their performance, usually assessed through performance evaluations, to incentivize productivity and excellence.

Employee Performance Appraisals

A periodic review and evaluation of an individual's job performance and productivity in relation to certain pre-established criteria and objectives.

Incentive Plans

Compensation strategies designed to motivate and reward employees for achieving specific performance goals or business outcomes.