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The following case study is associated with more than one question. The following table provides financial information for four companies. For the purpose of the

The following case study is associated with more than one question.
The following table provides financial information for four companies.
For the purpose of the following questions, you can assume that the business, or project risk of each companys earnings before interest and taxes (EBIT) is identical. You can also assume that the market value of the companys interest bearing liabilities is the same as the book value, and that investors and the company can both borrow and lend at the risk free rate of interest.\table[[,Tamma,Tupper,Tazzle,Tease,Tube,Tanner],[Income Statement,,,,,,],[Earnings before interest and tax (EBIT),640,640,840,793,950,860],[Interest expense,,150,0,150,,],[Tax,0,0,?,?,0,0],[Earnings after tax,640,490,640,490,950,860],[Dividend paid,640,490,640,490,500,750],[Retained Earnings,0,0,0,0,450,110],[Balance Sheet,,,,,,],[Total Assets,10,000,10,000,10,000,10,000,10,000,10,000],[Total Interest Bearing Liabilities,,7,500,,7,500,,],[Shareholders' Funds,10,000,2,500,10,000,2,500,10,000,10,000],[,,,,,,],[Number of shares in issue,20,000,5,000,20,000,5,000,20,000,20,000],[Corporate tax rate,0,0,25%,25%,0,0],[Risk free rate of interest,2.00%,2.00%,2.00%,2.00%,2.00%,2.00%],[Equity Market Risk Premium,5.50%,5.50%,5.50%,5.50%,5.50%,5.50%],[Equity Market Beta,0.80,?,0.80,3.20,1.20,1.20],[Expected earnings growth rate,0.00%,0.00%,0.00%,0.00%,4.50%,1.10%]]
REQUIRED:
What should the share price be for Tamma?
A.0.45
B.0.50
C.0.59
D.0.68
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