Multiple Choice
ABC Corp.has offered 1 million shares having a total market value of $8 million for XYZ Corp.After the merger is announced,shares in ABC trade for $7 each.If ABC is confident about XYZ's value,what has happened to the cost of the merger?
A) It increases by $1 million.
B) It decreases by $1 million.
C) It increases by $9 million.
D) It remains constant.
Correct Answer:
Verified
Correct Answer:
Verified
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