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Two logging companies, Timber West and Woodsmen East both have earnings of $10 per share and 5 million shares outstanding. Timber West has a stock

Two logging companies, Timber West and Woodsmen East both have earnings of $10 per share and 5 million shares outstanding. Timber West has a stock price of $40 per share while Woodsmen’s is $25 per share. If Timber West acquires Woodsmen East using its own stock and the takeover adds no value, what is the change in Timber West's earnings per share as a result of the acquisition?





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