Analog Ltd wishes to acquire the share of Mezzanine Ltd, the Finance manager of Mezzanine expects to release synergies of R3,000,000 driven by additional sales opportunities of the combined group. However, there is no expectation that the group's PE ratio will change. Using the following information calculate each of the information required form (a) to (e) [12 Marks] Round to 3 decimal places Company Issued shares Earnings per share Price per share R4.5 R33.6 Analog Ltd Mezzanine Ltd 9 000 000 1 000 000 R2.0 R21.8 (a) What is the PE ratio of Analog Itd? (1 marks) (b) What is the value of total earnings of Mezzanine Itd? (1 marks) (c) Calculate what is going to be the PE ratio of combined group post the merger (5 marks) The combine PE ratio is (d) Calculate the maximum Exchange ratio that Analog should be willing to offer to acquire ownership of Mezzanine ltd (3 marks) Maximum ER is Tel Calculate the minimum Exchange ratio that Mezzanine should be willing to accent as a hid from Analog It 2 marks)