What is the merger premium per share

Assignment Help Operation Management
Reference no: EM131989500

Miller Sporting Goods is acquiring Town Line Sports for $327,000 in cash. Currently, Miller Sporting Goods has 12,500 shares of stock outstanding at a market price of $54 a share. Town Line Sports has 12,000 shares outstanding at a price of $26 a share. Neither firm has any debt. The incremental value of the acquisition is estimated to be $16,500. What is the merger premium per share?

Reference no: EM131989500

Questions Cloud

What will be his after-tax yield to maturity : If the investor holds the bond until it matures and collects the $1000 par value from the municipality and his marginal tax rate is 34 percent
What is this ratio intended to measure : Specialized ratios are sometimes used in specific industries. For example, the so-called book-to-bill ratio is closely watched for semiconductor manufacturers.
Bond investor may rely upon for guidance : Identify and describe the five most important ratios a bond investor may rely upon for guidance?
Find the weighted average cost of capital : The bonds have a 6 percent coupon and a 6.7 percent yield to maturity. If the tax rate is 34 percent, what is the weighted average cost of capital?
What is the merger premium per share : Neither firm has any debt. The incremental value of the acquisition is estimated to be $16,500. What is the merger premium per share?
Determine the break-even quantity of each product : What is the sales mix of portable grills to stationary grills to smokers? Determine the break-even quantity of each product.
Construct a precedence diagram for the big broadcaster : MHH624713 - Industrial Studies - What other considerations would be crucial to the final decision about installing new equipment or about price variation
Which is the better option and how much does john : If John interest rate is 15% annually, which is the better option and how much does John save by making the better decision?
Should the company undertake the revision : Cash flows from increased sales will be $20,000 the first year. These cash flows will increase by 3 percent per year.

Reviews

Write a Review

Operation Management Questions & Answers

  What is the project closeout report

What is the Project Closeout Report (PCR) and what benefits does it have to you and your project team?

  Health insurance portability and accountability act

The most important issue your boss has asked you to cover is the Health Insurance Portability and Accountability Act (HIPAA).

  Determine the range of annual volume

A firm plans to begin production of a new small appliance. The manager must decide whether to purchase the motors for the appliance from a vendor at $7 each or to produce them in-house. Determine the range of annual volume for which each of the alter..

  Shadow price with respect to the production constraint

A computer store sells two models. The first is a laptop which costs $950 to produce, and a net book which cost $400 to produce. It is estimated that the average selling price of the laptop is $1200 minus $0.5 for each net book sold and minus $0.03 f..

  What is the cash inflow on the first shift unit

Your product line is automated to 7.0. Your labor costs on first shift are $6.00 per unit, on second shift $9.00 per unit. Material costs are $12.00. Your product is priced at the top of the range, $31.50, so margins are excellent. You have 1000 unit..

  What is the best approach for me to take in creating

What is the best approach for me to take in creating or implementing an order taking system and how do I deal with Privacy issues?

  Structural-political-human resource and symbolic

Out of the four frame models from Bolman and Deal: structural, political, human resource, and symbolic

  Explain four criticisms of the strategic planning process

List and explain four criticisms of the strategic planning process, as discussed in the lecture. Which of the criticisms do you see as key for all organizations to overcome? Why?

  Elements of cause of action based on negligence

Discuss the elements of a cause of action based on negligence?

  How should lego manage the open source movement

What are the advantages of Lego's approach to open sourcing? What are the disadvantages of Lego's approach to open sourcing?

  A motor grader requires two passes at 2 miles per hour

A motor grader requires two passes at 2 miles per hour, two passes at 3 miles per hour, and one pass at 4 miles per hour to accomplish the work

  Develop your presentation as though you are pitching

Develop your presentation as though you are pitching a venture capitalist firm, or angel investor.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd