Firms A and B intend to merge and Firm A has calculated the NPV of the merger

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Firms A and B intend to merge and Firm A has calculated the NPV of the merger to be $2 million after paying $8 million for Firm B. If Firm A had a pre-merger value of and Firm B had a pre-merger value of $6 million, calculate the value of the merged entity, as well as the cost of the merger.

Posted Date: Nov 16, 2021 09:31 PM

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Firms A and B intend to merge and Firm A has calculated the NPV of the merger

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Value of the merged entity Firm A premerger v... View the full answer

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