1.Why are stock mergers the preferred form of payment for large mergers with greater than $1 billion in transaction value? 2. Why did First Union acquire The Money Store? 3. On the day before the...

1.Why are stock mergers the preferred form of payment for large mergers with greater than $1 billion in transaction value? 2. Why did First Union acquire The Money Store? 3. On the day before the March 4, 1998, merger announcement, First Union stock closed at $52.75. Had First Union set an exchange ratio based on this predeal announcement stock price, what would it have been? What is the effect of the difference in this exchange ratio and the actual exchange ratio on the wealth of The Money Store shareholders?