Suppose you have the following information concerning an acquiring firm (A) and a target firm (B). Neither firm has any debt. The incremental value of the acquisition is estimated to be $250,000. Firm B is willing to be acquired for $540,000 worth of Firm A's stock.

Firm A Firm B
Number of Shares 50,000 18,000
Price per Share $50.00 $22.50
What is the price per share of the existing firm after the acquisition is completed?

Question 17 options:
a. $55.24
b. $51.89
c. $50.00
d. $54.76
e. $52.46