Cleaning Corp. has a market value of $563,000 and Carpet Steamers has a market value of $174,000. Cleaning Corp. just acquired Carpet Steamers for $185,000 in cash. What is the net present value of the acquisition if the merger creates $18,000 of synergy from cost efficiencies?

a). −$29,000

• b). $7,000

• c). $156,000

• d). $174,000

• e). −$11,000

Answer rating: 100% (QA)

Given synergies value18000 Paid value of cash18... View the full answer