The shareholders of Alpha Company have voted in favor of a buyout offer from Beta Company.

Alpha Company information:

• Price-earnings ratio = 9.5
• Shares outstanding = 84,000
• Earnings = $280,000

Beta Company information:

• Price-earnings ratio = 31
• Shares outstanding = 310,000
• Earnings = $950,000

Alpha Company's shareholders will receive one share of Beta Company stock for every three shares they hold in Alpha Company.

What will the EPS of Beta Company be after the merger?

What will the P/E ratio be if the NPV of the acquisition is zero?

What must Beta Company feel is the value of the synergy between these two firms?