The Jeter Corporation is considering acquiring the A-Rod Corporation. The data for the two companies are as follows: a. The Jeter Corporation is going to give A-Rod Corporation a 50 percent premium over A-Rod's current market value. What price will it pay? Note: Do not round intermediate calculations and round your answer to the nearest whole number. b. At the price computed in port a, what is the total market value of A.Rod Corporation? (Use the number of A-Rod Corporation shares times price.) Note: Do not round intermediate calculations, Input your answer in dollars, not in millions (e.g. \$1,234,000), Round your final answer to the nearest whole number. c. At the price computed in part a, what is the P/E ratio Jeter Corporation is assigning A-Rod Corporation? Note: Do not round intermediate calculations and round your answer to 2 decimal places. d. How many shares must Jeter Corporation issue to buy the A-Rod Corporation at the total value computed in part b ? Note: Do not round intermediate calculations and round your answer to the nearest whole number. e. Given the answer to part , how many shares will Jeter Corporation have after the merger? Note: Do not round intermediate calculations. Input your answer in dollars, not in millions (e.g. \$1,234,000). Round your final answer to the nearest whole number. f. What are the new postmerger earnings per share? Note: Do not round intermediate calculations and round your answer to 2 decimal places. The Jeter Corporation is considering acquiring the A-Rod Corporation. The data for the two companies are as follows: a. The Jeter Corporation is going to give A-Rod Corporation a 50 percent premium over A-Rod's current market value. What price will it pay? Note: Do not round intermediate calculations and round your answer to the nearest whole number. b. At the price computed in port a, what is the total market value of A.Rod Corporation? (Use the number of A-Rod Corporation shares times price.) Note: Do not round intermediate calculations, Input your answer in dollars, not in millions (e.g. \$1,234,000), Round your final answer to the nearest whole number. c. At the price computed in part a, what is the P/E ratio Jeter Corporation is assigning A-Rod Corporation? Note: Do not round intermediate calculations and round your answer to 2 decimal places. d. How many shares must Jeter Corporation issue to buy the A-Rod Corporation at the total value computed in part b ? Note: Do not round intermediate calculations and round your answer to the nearest whole number. e. Given the answer to part , how many shares will Jeter Corporation have after the merger? Note: Do not round intermediate calculations. Input your answer in dollars, not in millions (e.g. \$1,234,000). Round your final answer to the nearest whole number. f. What are the new postmerger earnings per share? Note: Do not round intermediate calculations and round your answer to 2 decimal places
