Macho Tool Company is going public at $45 net per share to the company. There also are founding shareholders that are selling part of their shares at the same price. Prior to the offering the firm had $29 million in earnings divided over 14 million shares. The public offering will be for 5 million shares: 1 million will be new corporate shares and 4 million will be shares currently owned by the founding shareholders. (Round the Intermediate calculation to 2 decimal places. Round the final answers to 2 decimal places.) a. What is the immediate dilution based on the new corporate shares that are being offered? Dilution $ per share b. If the stock has a P/E of 25 immediately after the offering, what will be the share price? Stock price c. Should the founding shareholders be pleased with the $45 they received for their shares? Yes No