TIUVIUM (20 points) You are given the following facts: World Enterprises (A) Wheelrim& Axle Merged Company (AB) (B) dor EPS $2.4 $3 3.20 Price per share $48 ? $36 12 P/E 20 number of shares 120,000 240,000 ? Total Earnings $288,000 $720,000 Total market value $5,760,000 $8,640,000 c) What is the cost of the merger to World Enterprises? (4 points) d) What is the change in the total market value of the World Enterprises shares? (3 points) There are no gains from this merger. In exchange for Wheelrim and Axle shares, World Enterprises issues just enough of its own shares to ensure the $3.20 earnings per share objective