a$)$ Tatar Company is being acquired by Vison company on a share exchange basis. CEO of the vision company thinks that shareholders ahways look for the earning per share. Therefore, he would like to offer shares of vision company to the shareholder Tatar company in such ratio that will not dilute Earnings Per Share of the acquiring company. The data for the two companies are as given below:

$\backslash$table$[[,$Vision Company,Tatar Company$],[$Profit after tax $($Tk$.$ in Lakh$),56,21],[$Number of Shares$($lakh$),10,8\mathrm{.}4],[$Earnings Per Share $($Tk$.),5\mathrm{.}6,2\mathrm{.}5],[$Price Earnings Ratio,$12\mathrm{.}5,7\mathrm{.}5]]$

$($i$)$ What is the pre$-$merger market value per share and maximum exchange ratio that vision company should offer without dilution of EPS. What is the post$-$merger market value per share if price earnings ratio of vision company falls to $11$ after the merger?

$($ii$)$ The forecast of Vision company show that the acquisition would increase its annual after tax cashflows by Tk$.60,000$ indefinitely. The appropriate discount rate for the incremental cash flow is $8$ percent. What is the value of synergy? What is the maximum exchange ratio that vision company should offer without dilution of EPS?