10. Like the survey questions in 0.4.1, this question will be used as an examme in our next class. You will receive full credit for selecting either answer. Please answer thoughtfully, and he prepared to discuss your choice in the next class. You each own a share in Student Co, a publicly traded company providing all sorts of products and services to students. The current share price is $100. A large investor is attempting to takeover the company by purchasing over 50% of its shares. She has made the following \"tieredtender\" offer: a All shareholders have the option to tender [i.e., sell} or not. Let T he the percentage of share holders that tender. - If T 5 50%, those who tander are paid $105 for their shares. But, the takeover fails {the investor does not acquire a majority stake). Hence, the value of a share for those who did not tender is still $1D. - If T 2: 50%, those who tender receive the blended price: 50%_105+T50%_ T T {This is where the \"tiered" name comes fromthe rst 50% are valued more highly (at $105} than the remaining shares {at SSWhowever, all tendering shareholders receive the blended price.] For example, if 00% of shareholders tender, they will each be paid $102.5 for their shares. If 100% tender, they will each be paid $015 for their shares. In addition, if T :5 50%, the takeover succeeds [the investor acquires a majority stake}. By law, she has the right to talre the company private, which she plans to do. In this event, all shareholder who chose not to tender will be paid \"fairmarket" value for their share, which you expected to be $00 (i.e., the lowertier share value). 00. You care only about maximizing the value of your investment. Do you tender? (a) YES {bl ND