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Wagner Trucking Is Considering Investing in a New Project That

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Wagner Trucking is considering investing in a new project that will cost $13 million and increase net income by 6.5 percent.This project will be completely funded by issuing new equity shares.Currently,the firm has 1.25 million shares of stock outstanding with a market price of $42 per share.The current earnings per share are $1.82.What will the earnings per share be if the project is implemented?

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Definitions:

Motivation

Represents the internal and external factors that stimulate desire and energy in people to be continually interested and committed to a job, role, or subject.

Intrinsic Motivation

The drive to perform activities for their own sake and for the personal rewards they bring, rather than for external rewards.

Extrinsic Motivation

A form of motivation driven by external rewards, such as money, grades, or recognition, rather than by inherent interest in the activity itself.

Autonomous Motivation

Self-motivation or intrinsic motivation that occurs when people feel they are in control of their motivation.

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