Mergers and acquistion subject.

Part B: Written Answer Questions: 11 Questions to answer (1x10 + 10x8 = 90 Marks in Total) Please write your answers in the space below each question. 1. (1) A target firm has the following characteristics: An estimated enterprise value of $100 million Long-term debt whose market value is $10 million S8 million in excess cash balances Estimated PV of currently unused licenses of $15 million Estimated PV of future litigation costs of S3 million 2 million common shares outstanding What is the value of the target firm's equity per common share? (3.5 marks)