I need detailed explanation to every part of the answer

Example 2: Madhu Company wishes to take over Sudha Company. The financial details of the company are as follows: Liabilities T Madhu T Sudha T Assets Madhu Sudha Company Company Company Company (8) 10% Debentures 1,00,000 50,000 Fixed Assets 6,00.000 2.10,000 Profil and Loss Alc 1,70,000 90.000 Current Assets 3,70,000 2,00,000 Share Premium Alc 20,000 Equity Shure of 5,00,000 2,50,000 1*100 per Share Preference Shares 2,00,000 9,70,000 4,10,000 9,70,000 4,10,000 Additional Information: 1) Annual profit available for equity shareholders after tax and preference dividend: Madhu Ltd. - 1,80,000 Sudha Lid. - 70,000 2) Market price per equity share: Madhu Ltd. - 210 Sudha Ltd. - 3270 What offer do you think that the Madhu Company could make to Sudha Company in terms of exchange ratio based on: . 1) Net assets value, 2) Eaining per share, and 3) Market value per share