Maxus International is considering making an offer to takeover Betrium Co. Further, suppose Betrium Co's shareholder are given one Maxus International's share in exchange for every two shares of Betrium Co. Maxus International also makes a cash offer of $28 per share to Betrium Co and has estimated that the present value of the synergistic benefits from acquiring Betirum Co is $950,000. Maxus International has 150,000 shares outstanding and its shares are trading at $38 per share. Betrium Co has 45,000 shares outstanding with share price of $12. If Maxus makes cash offer the NPV would be $250,000, alternatively for stock offer the NPV would be $544,325. Required: a) Discuss from a legal standpoint, how both companies would be affected by the merger? [2 marks] b) Discuss whether the NPV for both offers are appropriately valued. [15 marks] c) Should takeover be attempted? If so, should Maxus make a cash offer or stock offer? [1 marks] d) Maxus International which currently operating in US is expecting to receive 200,000 in three months from Kernel Co which is operating in United Kingdom. Assume the spot exchange rate and the 90-day forward rate in terms of dollars per pound are $1.5875 = 1 and $1.5853 = 1, respectively. How many dollars will Maxus receive in three months if Kernel agrees to a forward trade to exchange for dollars? [2 marks]