On 1 August 20X7 Patronic Co purchased 18 million ...
On 1 August 20X7 Patronic Co purchased 18 million of the 24 million $1 equity shares of Sardonic Co. The acquisition was through a share exchange of two shares in Patronic Co for every three shares in Sardonic Co. The market price of a share in Patronic Co at 1 August 20X7 was $5.75. Patronic Co will also pay in cash on 31 July 20X9 (two years after acquisition) $2.42 per acquired share of Sardonic Co.Patronic Co's cost of capital is 10% per annum.What is the amount of the consideration attributable to Patronic Co for the acquisition of Sardonic Co?
A、$105 million
B、$139.5 million
C、$108.2 million
D、$103.8 million