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Ans this in 10 minutes A Ltd is acquiring B Ltd and will pay consideration totally through shares. The financial data of both companies are

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Ans this in 10 minutes

A Ltd is acquiring B Ltd and will pay consideration totally through shares. The financial data of both companies are given below: A LTD B LTD PROFITS 800000 300000 NO OF EQUITY SHARES 400000 200000 EPS 2 P/E RATIO 112 7 Calculate the following: 1. Market price of each company share? 2. Market Capitalization of each company 3. Find out the Exchange Ratio(Swap Ratio)

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