given the following information for GBN Inc:

Stock price = $32.5/sh

Net incone = $3,500,000

average # of shares o/s = 25,000,000

EPS(consensus) = .16/sh

Industry Ave P/E = 197x

Calculate the following:

1. EPS(basic)

2. Define EPS

3. P/E ratio

4. Define P/E ratio

5. calculate market capitalization of GBN

6. given the reported EPS basic and the EPS consensus, what is the likely stock price reaction?