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Document1 ces Mailings Review View Tell me po A AaBbCcDdEe AaBbCcDdEe AaBbCcDc AaBbcode Heading 1 Heading 2 ES y Normal No Spacing 1. The Cowens

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Document1 ces Mailings Review View Tell me po A AaBbCcDdEe AaBbCcDdEe AaBbCcDc AaBbcode Heading 1 Heading 2 ES y Normal No Spacing 1. The Cowens Corporation is a related diversifier. It has three main business units with earnings for each subsidiary shown below. Note that the company's executives believe that each unit's earnings include about $3 million of profit associated with synergies among the units. The company's total market value as of close of the New York Stock Exchange on Monday was $1 billion. Earnings Business Unit A $ 10,000,000 Business Unit B $ 20,000,000 Business Unit C $ 50,000,000 The earnings per share and share price data for the competitors of each of the Cowens Corporations main business units are shown below. Business Unit A has two main rivals. Rival #1 has earnings per share of $2 and a share price of $32 Rival 112 has earnings per share of $4 and a share price of $56 Business Unit B has two main rivals. Rival #1 has earnings per share of $1.50 and a share price of $15 Rival #2 has earnings per share of $3.00 and a share price of $18 Business Unit C has three main rivals. Rival #1 has earnings per share of $8 and a share price of $96. Rival 2 has earnings per share of $10 and a share price of $150 Rival 3 has earnings per share of $12 and a share price of $216 As an investor evaluating this company, would you recommend a break-up? Why or why not? Focus Document1 ces Mailings Review View Tell me po A AaBbCcDdEe AaBbCcDdEe AaBbCcDc AaBbcode Heading 1 Heading 2 ES y Normal No Spacing 1. The Cowens Corporation is a related diversifier. It has three main business units with earnings for each subsidiary shown below. Note that the company's executives believe that each unit's earnings include about $3 million of profit associated with synergies among the units. The company's total market value as of close of the New York Stock Exchange on Monday was $1 billion. Earnings Business Unit A $ 10,000,000 Business Unit B $ 20,000,000 Business Unit C $ 50,000,000 The earnings per share and share price data for the competitors of each of the Cowens Corporations main business units are shown below. Business Unit A has two main rivals. Rival #1 has earnings per share of $2 and a share price of $32 Rival 112 has earnings per share of $4 and a share price of $56 Business Unit B has two main rivals. Rival #1 has earnings per share of $1.50 and a share price of $15 Rival #2 has earnings per share of $3.00 and a share price of $18 Business Unit C has three main rivals. Rival #1 has earnings per share of $8 and a share price of $96. Rival 2 has earnings per share of $10 and a share price of $150 Rival 3 has earnings per share of $12 and a share price of $216 As an investor evaluating this company, would you recommend a break-up? Why or why not? Focus

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