Question
Assume the following financial data for the Noble Corporation and Barnes Enterprises: Noble Corporation Barnes Enterprises Total earnings $ 2,132,000 $ 8,300,000 Number of shares
Assume the following financial data for the Noble Corporation and Barnes Enterprises:
| Noble Corporation | Barnes Enterprises | |||
| Total earnings | $ | 2,132,000 | $ | 8,300,000 |
| Number of shares of stock outstanding | 820,000 | 4,150,000 | ||
| Earnings per share | $ | 2.6 | $ | 2.0 |
| Price-earnings ratio (P/E) | 20 | 26 | ||
| Market price per share | $ | 52 | $ | 52 |
If all the shares of the Noble Corporation are exchanged for those of Barnes Enterprises on a share-for-share basis, what will postmerger earnings per share be for Barnes Enterprises? (Do not round intermediate calculations. Round your answer to 2 decimal places.)
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The Engineers Cost Handbook Tools For Managing Project Costs
Authors: Richard E. Westney
1st Edition
0824797965, 978-0824797966
