The acquisition committee of KE plc is considering making a takeover bid for Risky plc. Summarised financial data is given below for Risky plc. Balance sheets as at 31 December 2019 Non-current assets Current-assets Total assets '000 54,500 6.450 60.950 Equity and liabilities Ordinary share capital (1 shares) Retained profits 10% Debentures Trade payables Total equity and liabilities 10,000 18,950 24,500 7,500 60.950 Notes The long-term liabilities of Risky plc are 10% Debentures. Dividends were 15p per share in 2019 with a 5.5% dividend yield Operating profits in 2019 18,750,000 Net cash flow in 2019 13,040,000 Predicted growth in profits after tax from 2019 0% P/E ratio at 31 December 2019 8 Estimated required return on equity 12% (based on industry average) You may assume that corporation tax is chargeable on profits before tax at a rate of 20%; Tax is paid in the year charged. Net investment in non-current assets is stable, so cash expended each year is approximately equal to depreciation. Required: Prepare briefing notes in order to advise the main board of KE on the following matters: The possible price that the shareholders of Risky might expect (per share and in total) using each of the following methods: (i) Net assets (ii) P/E ratio (iii) Dividend yield (iv) Discounted cash flows Round the share price to the nearest penny