Erna Corporation is evaluating an extra dividend versus a share repurchase. In either case, $$16,000$ would be spent. Current earnings are $$1\mathrm{.}60$ per share and the stock currently sells for $$64$ per share. There are $5,000$ shares outstanding. Ignore taxes and other imperfections.

a$.$

Evaluate the two alternatives in terms of the effect on the price per share of the stock and shareholder wealth per share. $($Do not round intermediate calculations and round your answers to $2$ decimal places, e$.$g$.,32\mathrm{.}16.)$

b$.$ What will be the effect on the company$$s EPS and PE ratio under the two different scenarios? $($Do not round intermediate calculations and round your answers to $2$ decimal places, e$.$g$.,32\mathrm{.}16.)$