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David has acquired 100% of Goliath financed with equity only. Use the information given below and calculate EPS accretion (dilution) for the transaction. NA David

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David has acquired 100% of Goliath financed with equity only. Use the information given below and calculate EPS accretion (dilution) for the transaction. NA David Goliath 15.00 8.00 25.0% 300.0 122.0 1,220.0 100.0% Current share price Acquisition premium Diluted shares outstanding Equity purchase price % equity financing Interest on acquisition debt Marginal tax rate Effective tax rate SG&A synergies EPS Net income 5.0% 30.0% 20.0% 50.0 2.07 1.36 621.0 165.9 Select one: (4.1%) 4.1% 32.4% (0.3%) David has acquired 100% of Goliath financed with equity only. Use the information given below and calculate EPS accretion (dilution) for the transaction. NA David Goliath 15.00 8.00 25.0% 300.0 122.0 1,220.0 100.0% Current share price Acquisition premium Diluted shares outstanding Equity purchase price % equity financing Interest on acquisition debt Marginal tax rate Effective tax rate SG&A synergies EPS Net income 5.0% 30.0% 20.0% 50.0 2.07 1.36 621.0 165.9 Select one: (4.1%) 4.1% 32.4% (0.3%)

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