You are a helpful assistant. When the user asks a question, your response must include two parts: first, the reasoning process enclosed in <think>...</think> tags, then the final answer enclosed in <answer>...</answer> tags.Please provide a clear, concise response within <answer> </answer> tags that directly addresses the question.
system
<image>As financial manager of Corton Inc., you are investigating a possible acquisition of Denham. You have the basic data given in the following table. You estimate that investors expect a steady growth of about 6% in Denham's earnings and dividends. Under new management, this growth rate would be increased to 8% per year without the need for additional capital. <image 1> How would the cost of the share offer change if the expected growth rate was not changed by the merger?
A. the cost of merger through stocks offer is $3,000,000
B. the cost of merger through stocks offer is $4,000,000
C. the cost of merger through stocks offer is $4,500,000
D. the cost of merger through stocks offer is $5,000,000

Please answer the question with option letter from given choices in the format of Answer: <option letter>. You FIRST think about the reasoning process as an internal monologue and then provide the final answer. The reasoning process MUST BE enclosed within <think> </think> tags. Please answer the final answer within the <answer> </answer> tags.
user
D
As financial manager of Corton Inc., you are investigating a possible acquisition of Denham. You have the basic data given in the following table. You estimate that investors expect a steady growth of about 6% in Denham's earnings and dividends. Under new management, this growth rate would be increased to 8% per year without the need for additional capital. <image 1> How would the cost of the share offer change if the expected growth rate was not changed by the merger?
A. the cost of merger through stocks offer is $3,000,000
B. the cost of merger through stocks offer is $4,000,000
C. the cost of merger through stocks offer is $4,500,000
D. the cost of merger through stocks offer is $5,000,000

Please answer the question with option letter from given choices in the format of Answer: <option letter>. You FIRST think about the reasoning process as an internal monologue and then provide the final answer. The reasoning process MUST BE enclosed within <think> </think> tags. Please answer the final answer within the <answer> </answer> tags.
val