Use the Following Information to Answer the Question(s)below

question 2

Multiple Choice

Use the following information to answer the question(s) below.
You work for a leveraged buyout firm and are evaluating a potential buyout of Associated Steel.Associated Steel's stock price is $15 and it has 10 million shares outstanding.You believe that if you buy the company and replace its management,its value will increase by 50%.You are planning on doing a leveraged buyout of Associated Steel,and will offer $20 per share for control of the company.
-Assuming you get 50% control of Associated Steel,then the price of the non-tendered shares will be closest to:

• A)$12.50.
• B)$15.00.
• C)$17.50.
• D)$20.00.

---

Definitions:

Advertising

The activity or practice of creating and disseminating messages designed to promote products, services, or ideas to a target audience.

Savvy Consumerism

The behavior of consumers who are knowledgeable, informed, and judicious about their purchasing decisions, often focusing on value, quality, and impact.

Ethical Branding

Ethical branding is the practice of promoting and positioning a brand or product as ethically responsible, highlighting commitments to social justice, environmental sustainability, or fair trade practices.

Environmental

Pertaining to the natural world or the ecological circumstances that affect the survival and development of organisms.