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Tyson Iron Works is about to go public. It currently has aftertax earnings of $5700,000, and 3.500.000 shares are owned by the present stockholders. The

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Tyson Iron Works is about to go public. It currently has aftertax earnings of $5700,000, and 3.500.000 shares are owned by the present stockholders. The new public issue will represent 600,000 new shares. The new shares will be priced to the public at $25 per share with a 6 percent spread on the offering price. There will also be $240,000 in out-of-pocket costs to the corporation c. Compute the earnings per share immediately after the stock issue. (Do not round intermediate calculations and round your answer to 2 decimal places.) Earrings per share d. Determine what rate of return must be earned on the net proceeds to the corporation so there will not be a dilution in earnings per share during the year of going public. (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Rate of return e. Determine what rate of retum must be earned on the proceeds to the corporation so there will be a 10 percent increase in carings per share during the year of going public (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.)

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