What will your earnings per share be after the? merger

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Your company has earnings per share of ?$8. It has 1 million shares? outstanding, each of which has a price of ?$40. You are thinking of buying? TargetCo, which has earnings per share of ?$4?, 1 million shares? outstanding, and a price per share of ?$25. You will pay for TargetCo by issuing new shares. There are no expected synergies from the transaction. Complete parts a through d below.

a. If you pay no premium to buy? TargetCo, what will your earnings per share be after the? merger?

Reference no: EM132585631

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