how did they calculate earning per share when the market is fooled and when the market is smart? can this be calculated if not given Total earning? if so how info do I need to calculate it.
EPS = Total earnings/Number of shares
Hence EPS in both cases
= 210000000/125000000
= $1.68
We need both the variables to calculate EPS- Net Income and shares outstanding
how did they calculate earning per share when the market is fooled and when the market...
how did they come back with exchange ratio 0.5? Innovative Concepts (after the acquisition) Innovative The Market is Concepts QuickResolve The Market is Fooled Smart $1.50 $1.20 $ 1.68 $ 1.68 $45 $ 15.00 $ 50.40 $45 Earnings per share Price per share Price-earnings ratio 30 12.5 26.79 Number of shares Total earnings Total value 100,000,000 $150,000,000 $4,500,000,000 50,000,000 $60,000,000 $750.000.000 125,000,000 $210,000,000 $6,300,000,000 125,000,000 $210,000,000 $5,625,000,000 Exchange Ratio = 0.50
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You are considering investing in one of two companies. Company A has earning per share of $5 and a market price of $40. Company B has earnings per share of $12 and a market price of $120. Based on that information alone, which company should you invest in? Explain your answer, including what ratio you used to inform your investment decision. Do you think that you have reviewed sufficient information to make your decision? What other information or ratios would...
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on the market excceds the earning per share s used to calculate the number of times the price being paid for on the market exceeds the dividend per share. s a measure of confidence in the ability of the company to maintain its earnings in future The P/E ratio represents a d. the value of a share of stock in the market oltiplier pplied to current earnings to determine Table I: Net cash flows for three Project Z Project X...
MULTIPLE CHOICES os the market exceeds the earning per share. s used to calculate the number of times the price being paid for on the market exceeds the dividend per share. The P/E ratio is a measure of confidence in the a is a measure of confidence in the ability of the company to maintain its earnings in futhure the value of a share of stock in the market a rets muiplier applied to current earnings to determine Table I:...
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