Question: Question 3 ( 1 0 points ) Alpha Corporation is planning on merging with Gamma Corporation. Alpha will pay Gamma's stockholders the current value of

Question

3 (10

points

)

Alpha Corporation is planning on merging with Gamma Corporation. Alpha will pay Gamma's stockholders the current value of their stock in shares of Alpha because no synergy will be created. Alpha currently has

905

shares of stock outstanding at a market price of $

19

per share. Gamma has

1, 170

shares outstanding at a price of $

22

per share. What is the value of the merged firm?

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Question 3 ( 1 0 points ) Alpha Corporation is

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