I HAVE ALREADY FINISHED PROBLEM #9 I JUST INCLUDED IT FOR REFERENCE. Please answer #10 and #11

9. "By implementing best in practice short-term financial management policies, M&C Express believes it can lower its WCR from $700,000 to $300,000. Assuming a borrowing rate of 5 percent, calculate the before-tax interest expense savings from lowering the WCR.

Interest cost on existing WCR = 700000*5%= 35000

Interest cot on proposed WCR = 300000*5% = 15000

Before tax saving in interest expenses = 35000-15000= 20000

10.Building on the information from problem 9, calculate earnings per share for M&C Express. Financial projections for next year suggest that revenues will be identical to last year, and no expenses other than interest expense will change (year-over-year). M&C Express earned net income last year of $870,000. Assume a tax rate of 20 percent and 100,000 common shares outstanding.

11.Building on problem 10, use the P/E multiple to estimate the share price for M&C Express after short-ening the CCC. Assume an average P/E multiple for the industry of 13X."