The Prad Corporation is considering a merger with the Stone Company which has 400,000 outstanding shares selling for $25. An investment dealer has advised that to succeed in its merger Prad Corp. would have to offer $45 per share for Stones's stock. Prad Corp. stock is selling for $30. How many shares of Prad Corp. stock would have to be exchanged to acquire all of Stones's stock?
A) 266,667
B) 600,000
C) 720,000
D) None of these

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The Answer of The Prad Corporation is considering a merger with the Stone Company which has 400,000 outstanding shares selling for $25. An investment dealer has advised that to succeed in its merger Prad Corp. would have to offer $45 per share for Stones's stock. Prad Corp. stock is selling for $30. How many shares of Prad Corp. stock would have to be exchanged to acquire all of Stones's stock?
A) 266,667
B) 600,000
C) 720,000
D) None of these

The Prad Corporation Is Considering a Merger with the Stone