Consider the following premerger information about Firm A and Firm B: Firm A Firm B l earnings $2,300 $ 700 Shares outstanding 1100 300 Price per share $ 41 S 45 Assume that Firm A acquires Firm B via an exchange of stock at a price of $47 for each share of B's stock. Both Firm A and Firm B have no debt outstanding ces What will the earnings per share (EPS) of Firm A be after the merger? (Do not round a. intermediate calculations and round your answer to 2 decimal places, e.g. 32.16.) What will Firm A's price per share be after the merger if the market incorrectly analyzes this reported earnings growth (that is, the price-earnings ratio does not b. hange)? (Do not round intermediate celculations and round your answer to 2 decimal places, e.g., 32.16.) c. What will the price-earnings ratio of the postmerger firm be if the market correctly d-1. If there are no synergy gains, what will the share price of Firm A be after the d-2. analyzes the transaction? (Do not round intermediate calculations and round your onswer to 2 decimal places, e.g., 32.16.) merger? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g.. 32.16.) What will the price-earnings ratio be? (Do not round intermediate calculations and What will the price-earnings ratio of the postmerger firm be if the market correctly analyzes the transaction? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) c. d-1. If there are no synergy gains, what will the share price of Firm A be after the merger? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) d-2. What will the price-earnings ratio be? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) d-3. What does your answer for the share price tell you about the amount Firm A bid for Firm B? Was it too high? Too low? a. EPS 2.12 41.62 19.56 times 41.46 19.56 times b. Price per share C. PE ratio d-1. Price per share d-2. PE ratio d-3. Too high