Evaluatiun of Ordinary equity as a sorne of firanung.

A$.$ Company

Balance shoet before nght offenng

Assets

Evaluation of Adrany equity as a Soune: of framung

Income statement befure right offenng

Eaming rate on pral Asset $($EBIT$/$Total Ascet$)=12\%$

The company Intends to raise an adlutional $5,000,000$

Additional funds will cortinue to cam $12\%$

Prio$/$oaming rato $15$times

Dividerds payout rateo $=56\%$

Tax rate $=50$

Assuming subsuription pones of $80$ a shave.

Qn

How many adlutinal shares of stout will bave to be Issud?

What will be the now eamings pershare?

what wlll be the manket prie per shave?

what vll be the new duriends per share?