list-merge! (fine touches)

(define (list-merge! less? lst1 lst2)
  (cond
    ((null? lst1) lst2)
    ((null? lst2) lst1)
    (else
     (let ((less12? (less? (car lst1) (car lst2))))
       (let ((lst1 (if less12? (cdr lst1) lst1))
             (lst2 (if less12? lst2 (cdr lst2)))
             (result (if less12? lst1 lst2)))
         (let loop ((lst1 lst1)
                    (lst2 lst2)
                    (last result))
           (cond
             ((null? lst1)
              (set-cdr! last lst2)
              result)
             ((null? lst2)
              (set-cdr! last lst1)
              result)
             ((less? (car lst1) (car lst2))
              (let ((last% lst1))
                (set-cdr! last last%)
                (loop (cdr lst1) lst2 last%)))
             (else
              (let ((last% lst2))
                (set-cdr! last last%)
                (loop lst1 (cdr lst2) last%))))))))))