Marla's Cafe is attempting to acquire the Victory Club. Certain financial data on these corporations are summarized in the following table.

Maria's Cafe Victory clubs

Earnings available for common stock $40,000 $7,500 Number of shares of common stock outstanding $30,000 $7,000 Market price per share $13 $30

Marla's Cafe has sufficient authorized but unissued shares to carry out the proposed merger. If the ratio of exchange is 2.2,what will be the earnings per share (EPS) based on the original shares of each firm?

1)The EPS for Marla's original shareholders after the merger is ?

2) The EPS for Victory orginal share holders after the merger ?