Target Company is trading at $20 a share and has 1M shares outstanding. Acquirer Corp. is trading at $50 a share and has 2M shares outstanding. Acquirer offers Target's shareholders of one share of its stock for every two shares of Target Company. For the year ending 12/31/06, Acquirer and Target had earnings of $5M and $2M, respectively. The book value of Target's net assets is $12M and fair value is $15M as of 12/31/06. The book value of Acquirer's net assets is $35M and fair value is $48M as of 12/31/06. 19. How many shares outstanding will Acquirer have if they are successful in its acquisition? A. 2M B. 2.4M C. 2.5M D. 3M 20. If the acquisition is completed as of 12/31/06, what will the reported earnings per share be for the year ended 12/31/06 assuming pooling- of-interest accounting is used? A. $2.00 B. $2.33 C. $2.50 D. $2.80 21. If the acquisition is completed as of 12/31/06, what will the reported earnings per share be for the year ended 12/31/06 assuming purchase accounting is used? A. $2.00 B. $2.33 C. $2.50 D. $2.80 22. If the acquisition is completed as of 12/31/06, what will the book value per share be for the year ended 12/31/06 assuming pooling- of-interest accounting is used? A. $24.00 B. $20.00 C. $18.80 D. $15.67 23. If the acquisition is completed as of 12/31/06, what will the book value per share be for the year ended 12/31/06 assuming purchase accounting is used? A. $24.00 B. $20.00 C. $18.80 D. $15.67