Willow Enterprises is considering the acquisition of Steadfast Corp. in a stock swap transaction. Currently, Willow's stock is selling for $41per share. Although Steadfast's shares are currently trading at $35 per share, the firm's asking price is $70 per share.

a.If Willow accepts Steadfast's terms, what is the ratio ofexchange?

b.If Steadfast has 22,000 shares outstanding, how many new shares must Willow issue to consummate the transaction?

c.If Willow has 150,000 shares outstanding before the acquisition, and earnings for the merged company are estimated to be$400,000, what is the EPS for the merged company?

a.If Willow accepts Steadfast's terms, the ratio of exchange is ___ (Round to six decimal places.)

b.If Steadfast has 22,000 shares outstanding, how the number of new shares Willow must issue to consummate the transaction is ____ shares. (Round to the nearest whole number.)

c.The EPS for the merged company is $ ____