O 1 75% AT&T LTE 11:52 AM Exit 39 6. Your company has earnings per share of $4.20. It has 1.3 million shares outstanding, each of which has a price of $38.80. You are thinking of buying TargetCo,...


O 1 75%<br>AT&T LTE<br>11:52 AM<br>Exit<br>39<br>6.<br>Your company has earnings per share of<br>$4.20. It has 1.3 million shares outstanding,<br>each of which has a price of $38.80. You<br>are thinking of buying TargetCo, which has<br>earnings per share of $2.10, 1.4 million<br>shares, and a price per share of $25.60.<br>You will pay for TargetCo by issuing new<br>shares. There are no expected synergies<br>from the transaction. If you pay no premium<br>to buy TargetCo, what will be your earnings<br>per share after the merger?<br>EPS = $3.78<br>%3D<br>EPS = $4.98<br>EPS = $2.93<br>EPS = $12.42<br>

Extracted text: O 1 75% AT&T LTE 11:52 AM Exit 39 6. Your company has earnings per share of $4.20. It has 1.3 million shares outstanding, each of which has a price of $38.80. You are thinking of buying TargetCo, which has earnings per share of $2.10, 1.4 million shares, and a price per share of $25.60. You will pay for TargetCo by issuing new shares. There are no expected synergies from the transaction. If you pay no premium to buy TargetCo, what will be your earnings per share after the merger? EPS = $3.78 %3D EPS = $4.98 EPS = $2.93 EPS = $12.42

Jun 05, 2022
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