contestada

The Master Manufacturing Company has just announced a tender offer for its own common stock. Master is offering to buy up to 100% of the company's stock at $20 per share contingent on at least 64% of the outstanding shares being tendered. After the announcement of the offer, the stock closed on the NYSE up 2.50 at $18.75. If the customer were to tender the shares held long, the customer is assured of receiving:
A. $0B. $250C. $1,875D. $2,000

Respuesta :

Answer:

A. $0        

Explanation:

Given information

Per share = $20

Contingent on at least 64% of the outstanding shares

Based on the given information provided in the question the customer assurance of receiving would be zero as the company stock based on the contingent that give no assurance of receiving.

Therefore, the amount would be considered as zero