please read above data and answer Q.3 ASAP... I'll give you up thumb definitely

At the T. Rowe Price Trading Desk (B) Tuesday, August 21, 1984 12:21 p.m. Greg: (in response to Michael's offer of $231/2 for Avantek and $151/4 for Tandem): "OK on Tandem, but my lowest on Avantek is $24." Michael: "OK." 285-042 At the T. Rowe Price Trading Desk (B) Exhibit 1 Avantek Trade on August 21, 1984, 12:21 p.m.-Market Close Time Price Shares (100s) 12:22 12:23 12:23 12:23 12:50 1.23 1:46 1:48 1:51 2:07 2:10 2:20 2:38 2:39 2:39 2:57 3:00 3:01 3:05 3:08 3:15 3:15 3:16 3:39 3:59 24 34 24 24 1/8 24 14 24 7/8 24 7/8 24 7/8 24 1/8 24 34 24 5/8 24 5/8 24 5/8 24 5/8 24 5/8 24 34 24 7/8 24 5/8 24 7/8 24 34 24 12 24 12 24 34 24 34 24 34 24 72 125 1,830 1,000 100 2 3 1 21 30 1 5 1 10 8 30 1 1 10 5 5 4 300 1 10 2 Source: T. Rowe Price Associates Exhibit 2 Tandem Trades on August 21, 1984, 12:21 p.m.Market Close Time Price Shares (100s) Time Price Shares (100s) 12:21 12:22 12:22 12:23 12:27 12:29 12:30 12:36 12:43 12:46 12:52 12:59 1:00 1:01 onunc ana u 5 10 1 5 1 2 1 100 1:02 1:02 1:04 1:05 1:05 1:15 1:24 1:26 1:29 1:29 1:30 1:33 1:33 1:38 1:43 1:47 1:48 1:48 1:49 1:53 1:56 2:01 2:04 2:06 2:06 2:06 2:10 2:13 2:15 2:16 2:17 2:17 15 15 15 1/4 15 1/8 15 1/2 15 15 1/8 15 1/8 15 15 1/8 15 15 1/8 15 1/8 15 1/8 15 1/8 15 1/8 15 1/8 15 1/4 15 1/8 15 1/4 15 1/4 15 1/8 15 1/8 15 1/8 15 15 15 1/8 15 1/8 15 1/8 15 1/8 15 1/8 15 15 1/8 15 15 1/8 15 15 15 1/4 15 1/8 15 1/8 15 15 1/8 15 1/8 15 15 15 2,000 1,350 3,200 7 1 2 1 10 3 10 1 5 5 10 10 20 5 5 5 2 2 5 1 25 19 15 1 2 4 13 2 51 1 60 1 2 9 30 4 4 9 50 2 1 5 5 2:17 2:17 2:21 2:24 2:26 2:27 2:32 2:33 2:33 2:35 2:40 2:43 2:44 2:44 2:44 2:45 2:45 2:53 2:57 2:57 2:58 3:02 3:05 3:06 3:09 3:10 3:11 3:11 3:11 3:11 3:13 3:13 3:14 3:17 3:21 3:22 3:28 3:33 3:38 3:41 3:47 3:50 3:54 3:56 3:56 3:58 15 15 15 15 15 1/8 14 7/8 15 15 15 14 7/8 14 7/8 15 15 15 15 1/8 15 1/8 15 1/8 14 7/8 14 7/8 14 7/8 15 1/8 14 5/8 15 14 7/8 14 7/8 14 7/8 14 7/8 14 7/8 14 7/8 14 7/8 14 7/8 15 14 7/8 15 15 15 14 7/8 14 7/8 15 15 15 14 7/8 15 14 7/8 15 15 on ooo oo on CNNNNNN too oo --- HHHHHHbbbbb44bbb4b4b5 250 Exhibit 3 Performance of Various Stock Indexes on August 21, 1984 Dow Jones Industrials +1.87% S&P 500 +1.75% Wilshire 500 +1.56% Computer Technology Index +2.34% New Horizons Fund +1.23% Source: T. Rowe Price Associates QUESTION 3 1. Use the fair value from the previous two questions to calculate the follow two questions: How much transaction cost per share for trading the 35,000 shares of Avantek would Greg incur relative to the fair value if he sold to Kidder? If Greg later chooses Kidder for trading the remaining shares in the block of 183,000 shares of Avantek, would his cost per share be the same as the cost per share for the first 35,000 shares? Hint: If the true value of the stock is 100 and a trader sells the stock to the market maker at 95, the cost (relative to the fair value) for the trader is 5. Market maker makes a 5-dollar profit (relative to the fair value) 1/8; Cost per share would not increase. 1/8; His cost per share may become significantly bigger for the remaining shares. 0; Not sure whether his cost per share would increase. 10 points At the T. Rowe Price Trading Desk (B) Tuesday, August 21, 1984 12:21 p.m. Greg: (in response to Michael's offer of $231/2 for Avantek and $151/4 for Tandem): "OK on Tandem, but my lowest on Avantek is $24." Michael: "OK." 285-042 At the T. Rowe Price Trading Desk (B) Exhibit 1 Avantek Trade on August 21, 1984, 12:21 p.m.-Market Close Time Price Shares (100s) 12:22 12:23 12:23 12:23 12:50 1.23 1:46 1:48 1:51 2:07 2:10 2:20 2:38 2:39 2:39 2:57 3:00 3:01 3:05 3:08 3:15 3:15 3:16 3:39 3:59 24 34 24 24 1/8 24 14 24 7/8 24 7/8 24 7/8 24 1/8 24 34 24 5/8 24 5/8 24 5/8 24 5/8 24 5/8 24 34 24 7/8 24 5/8 24 7/8 24 34 24 12 24 12 24 34 24 34 24 34 24 72 125 1,830 1,000 100 2 3 1 21 30 1 5 1 10 8 30 1 1 10 5 5 4 300 1 10 2 Source: T. Rowe Price Associates Exhibit 2 Tandem Trades on August 21, 1984, 12:21 p.m.Market Close Time Price Shares (100s) Time Price Shares (100s) 12:21 12:22 12:22 12:23 12:27 12:29 12:30 12:36 12:43 12:46 12:52 12:59 1:00 1:01 onunc ana u 5 10 1 5 1 2 1 100 1:02 1:02 1:04 1:05 1:05 1:15 1:24 1:26 1:29 1:29 1:30 1:33 1:33 1:38 1:43 1:47 1:48 1:48 1:49 1:53 1:56 2:01 2:04 2:06 2:06 2:06 2:10 2:13 2:15 2:16 2:17 2:17 15 15 15 1/4 15 1/8 15 1/2 15 15 1/8 15 1/8 15 15 1/8 15 15 1/8 15 1/8 15 1/8 15 1/8 15 1/8 15 1/8 15 1/4 15 1/8 15 1/4 15 1/4 15 1/8 15 1/8 15 1/8 15 15 15 1/8 15 1/8 15 1/8 15 1/8 15 1/8 15 15 1/8 15 15 1/8 15 15 15 1/4 15 1/8 15 1/8 15 15 1/8 15 1/8 15 15 15 2,000 1,350 3,200 7 1 2 1 10 3 10 1 5 5 10 10 20 5 5 5 2 2 5 1 25 19 15 1 2 4 13 2 51 1 60 1 2 9 30 4 4 9 50 2 1 5 5 2:17 2:17 2:21 2:24 2:26 2:27 2:32 2:33 2:33 2:35 2:40 2:43 2:44 2:44 2:44 2:45 2:45 2:53 2:57 2:57 2:58 3:02 3:05 3:06 3:09 3:10 3:11 3:11 3:11 3:11 3:13 3:13 3:14 3:17 3:21 3:22 3:28 3:33 3:38 3:41 3:47 3:50 3:54 3:56 3:56 3:58 15 15 15 15 15 1/8 14 7/8 15 15 15 14 7/8 14 7/8 15 15 15 15 1/8 15 1/8 15 1/8 14 7/8 14 7/8 14 7/8 15 1/8 14 5/8 15 14 7/8 14 7/8 14 7/8 14 7/8 14 7/8 14 7/8 14 7/8 14 7/8 15 14 7/8 15 15 15 14 7/8 14 7/8 15 15 15 14 7/8 15 14 7/8 15 15 on ooo oo on CNNNNNN too oo --- HHHHHHbbbbb44bbb4b4b5 250 Exhibit 3 Performance of Various Stock Indexes on August 21, 1984 Dow Jones Industrials +1.87% S&P 500 +1.75% Wilshire 500 +1.56% Computer Technology Index +2.34% New Horizons Fund +1.23% Source: T. Rowe Price Associates QUESTION 3 1. Use the fair value from the previous two questions to calculate the follow two questions: How much transaction cost per share for trading the 35,000 shares of Avantek would Greg incur relative to the fair value if he sold to Kidder? If Greg later chooses Kidder for trading the remaining shares in the block of 183,000 shares of Avantek, would his cost per share be the same as the cost per share for the first 35,000 shares? Hint: If the true value of the stock is 100 and a trader sells the stock to the market maker at 95, the cost (relative to the fair value) for the trader is 5. Market maker makes a 5-dollar profit (relative to the fair value) 1/8; Cost per share would not increase. 1/8; His cost per share may become significantly bigger for the remaining shares. 0; Not sure whether his cost per share would increase. 10 points