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Ratio of exchange and EPS Soccer City is attempting to acquire the Federated Fields. Certain financial data on these corporations are summarized in the following
Ratio of exchange and EPS Soccer City is attempting to acquire the Federated Fields. Certain financial data on these corporations are summarized in the following table. (Click on the icon here _ in order to copy the contents of the data table below into a spreadsheet.) Item Soccer City Federated Fields Earnings available for common stock $25,000 $7,500 Number of shares of common stock outstanding 50,000 3,000 Market price per share $15 $28 Soccer City 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? . . . The EPS for Soccer City's original shareholders after the merger is $ . (Round to three decimal places.) The EPS for Federated Fields' original shareholders after the merger is $ . (Round to three decimal places.)
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