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The shareholders of Bread Company have voted in favor of a buyout offer from Butter Corporation. Information about each firm is given here: Bread Butter
| The shareholders of Bread Company have voted in favor of a buyout offer from Butter Corporation. Information about each firm is given here: |
| Bread | Butter | |
|---|---|---|
| Price-earnings ratio | 6.76 | 27.04 |
| Shares outstanding | 51,000 | 204,000 |
| Earnings | $ 235,000 | $ 470,000 |
| Bread's shareholders will receive one share of Butter stock for every two shares they hold in Bread. |
| What will the EPS of Butter be after the merger? |
| Bread | Butter | |
|---|---|---|
| Price-earnings ratio | 6.76 | 27.04 |
| Shares outstanding | 51,000 | 204,000 |
| Earnings | $ 235,000 | $ 470,000 |
| Bread's shareholders will receive one share of Butter stock for every two shares they hold in Bread. |
| What will the EPS of Butter be after the merger? |
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Quantitative Analysis for Management
Authors: Barry Render, Ralph M. Stair, Michael E. Hanna, Trevor S. Ha
12th edition
133507335, 978-0133507331
